Solana, a prominent cryptocurrency, recently experienced a significant market downturn. On a specific day, the price of Solana (SOL) plummeted by nearly 13%, dropping to an intra-day low of $65 before slightly recovering to $71. This sudden decline resulted in the liquidation of long contracts worth approximately $20 million, marking the largest single-day liquidation in the third quarter of the year.
Traders who were optimistic about Solana’s price increase faced substantial losses due to this unexpected market movement. Before this crash, Solana had been one of the best-performing assets of 2023, with its price soaring by almost 600% since the start of the year. This impressive growth had fueled expectations among investors that SOL might reach $80 by the year’s end.
Despite the recent setback, there are indications that Solana might quickly recover from these losses. At the time of the report, SOL was trading around $65, showing signs of a rebound from the recent low. If Solana can successfully turn the $71 mark from resistance to support, it could regain its upward momentum. Technical indicators like the Relative Strength Index (RSI) and Moving Average Convergence Divergence (MACD) were showing bullish signals, suggesting a potential recovery.
Based on the latest 30-day performance data from CoinMarketCap, Solana has shown a 9% decrease in its price. This recent trend indicates a negative momentum for SOL. Considering this and the potential for recovery noted in the market analysis, it’s plausible that Solana could continue its upward trajectory, possibly testing resistance levels around $78. However, it’s important to note that the cryptocurrency market is highly volatile, and predictions should be taken with caution.
Solana’s recent price drop and subsequent recovery efforts highlight the volatile nature of the cryptocurrency market. While the asset has shown resilience and potential for further growth, traders and investors should remain cautious and informed about the market dynamics.
Why is this happening, and is it possible for the ADA token to reach $10 by 2024? Let’s take …
TIA coin price has increased by more than 200% in just one month. How high will the TIA price go?
Could the LINK price potentially reach $20? Let’s jump into this analysis for a more comprehensive understanding.
Join us on Discord
Every week, we send you top market movements, the latest tech developments, and key financial insights into a quick read.
Over 1,000 subscribers