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Ethereum-killer Solana price is under pressure as NFT sales on OpenSea take a hit

  • Solana price takes a hit as NFT transaction volume on peer-to-peer marketplace OpenSea declines. 
  • Proponents have recognized mounting selling pressure on Solana as the Ethereum-killer suffers a drop in its price. 
  • Analysts predict a recovery in Solana price as the altcoin enters a buy zone. 

Solana price suffered a drop with mounting selling pressure across exchanges. Analysts believe Solana could recover from the drop and make a comeback. 

Also read: MULN stock roars back as bulls take on Hindenburg and Bitnile chimes in

Solana on track to recover from the price drop

Ethereum’s competitor Solana has suffered a correction as on-chain activity on its blockchain network dropped. Sales of NFTs on the peer-to-peer marketplace OpenSea plunged. The drop in NFT projects developed on Solana has negatively affected on-chain activity on the altcoin’s blockchain. NFT projects launched on Solana since the altcoin is considered a faster, cheaper and effective alternative to Ethereum, offering low-cost transaction processing on its blockchain. 

Among other factors, Solana price suffered a drop following its correlation with Bitcoin. Solana witnessed a spike in the number of investors considering the blockchain an Ethereum-alternative. 

The mounting selling pressure on Solana across exchanges led to a bearish trend reversal in the altcoin. Proponents believe once the Solana price recovers from a drop below its 200-day moving average, it could make a comeback. 

Analysts have evaluated the Solana price trend and observed that the altcoin is out of the oversold area. These analysts argued that Solana price witnessed a trend reversal after a display of bullish pressure in March 2022. This implies buyers are not as confident, as Solana price slips to the 100 SMA, turning that into support. 

Analysts have predicted Solana price could reclaim $120 and break into a rally. FXStreet analysts argue Solana price could double once it enters the buy zone. Analysts predicted the 200% gain in Solana as the altcoin traded above the green ascending trendline, considered key to its rally. 

Author

Ekta Mourya

Ekta Mourya

FXStreet

Ekta Mourya has extensive experience in fundamental and on-chain analysis, particularly focused on impact of macroeconomics and central bank policies on cryptocurrencies.

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