Solana (SOL) Consolidates Into a Narrow Range!
Solana currently has a market capitalization of $10,777,766,649 even after declining from $258 to $30, thus losing a decent chunk of its market position. Facilitating dAps and DeFi transactions has been the biggest positive element of Solana. With the bear market approaching, the price decline shouldn’t affect its development timeline.
Based on this narrow consolidation, we are headed towards a further declining market for the trending tokens of 2021. With this perspective, a few noted blockchains such as Solana can take a further downtrend route. The increasing gap between its critical moving averages, dripping buying sentiment, and hitting fresh lows with each swing has dented buyers’ hopes in the short term.
With such a negative trend, buyers are left with the only option of either taking advantage of this low price with the hopes of retracement or holding their tokens in the long term. Those still looking for opportunities to invest in SOL must read our Solana price prediction.
Solana’s downtrend doesn’t seem to stop. Falling from $260 to $100 and then consolidating again between $35 to $25. A marginal price uptrend led to an equal profit booking for one day on a subsequent day, creating a hysterical momentum for investors.
Despite the downtrend momentum, we are witnessing the rise in transaction volumes only after the recently touched low of May 12, 2022. Doubling the transaction volumes indicates a larger daily trading volume and increased participation by buyers and sellers alike.
Price again touched a new low of $25, which was $10 below the last low of $35. While previously we witnessed a rise in buying sentiment, price action this time seems more relaxed as buyers prepare for a further decline in SOL value in the coming days.
RSI has already taken a jump to 35. In the 24 hours, Solana has jumped significantly and tanked a little marking a wholesome gain, which showcases both a positive and a negative trend for the short term.
The lack of a clear price trend can further push buyers away. In such a condition, new buyers and seasoned investors should try acquiring tokens during a fresh new low and wait for a profit booking sentiment. Increased volatility will ensure faster ups and downs, thus offering better money-making opportunities.