|

Solana price hits lowest point in six months, recovery likely as the Ethereum-killer leads in Web3 gaming

  • Solana price has dropped 69% over the past six months, hitting its lowest since August 2021.
  • Analysts identify the Solana price chart's falling wedge pattern and predict recovery in the ongoing cycle.
  • UK-based game development and animation studio founder believes Solana could leave Ethereum in the dust in Web3 gaming.

Solana price plummeted nearly 5% over the past week, hitting the lowest price in the last six months. Analysts believe Solana price could recover from a recent drop as the altcoin competes with Ethereum. 

Also read: Gold Price Forecast: XAUUSD nearing the critical $1,900 level

Solana price hits six-month low, competes with Ethereum in the Web3 ecosystem

Solana price plunged consistently for the past six months. After hitting an all-time high four months ago, the altcoin dropped 69%. Solana hit its lowest point, close to $79. Proponents believe that the Ethereum-killer can break its sharp downtrend and recover to $85. 

Analysts argue that selling pressure on Solana price remains; however, bulls have pushed the Ethereum-killer to its resistance. 

The altcoin competes with Ethereum in Web3 gaming. Amio Talio, the founder of UK-based Paradox Studios, believes that Solana's building language attracts more developers compared to the Ethereum network. 

Talio explains that games like Star Atlas on the Solana blockchain offer users the opportunity to earn cryptocurrency, increasing their wallet balance. This makes it more lucrative compared to games on other platforms. 

Analysts have evaluated the Solana price trend and identified a falling wedge pattern. This is considered a bullish signal for the Ethereum-killer, and analysts believe Solana price will likely recover. 

FXStreet analysts believe Solana price remains at risk of collapse. The Ethereum-killer altcoin's price could dip lower as it continues to descend. The downside for Solana could be swift and violent, as analysts set a target of $50 for the Ethereum-killer. 

Solana price is headed for the 100% Fibonacci extension, or the top of the upper range of the current high volume node. Analysts have a bearish outlook on Solana price. 

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.

More from Ekta Mourya
Share:

Markets move fast. We move first.

Orange Juice Newsletter brings you expert driven insights - not headlines. Every day on your inbox.

By subscribing you agree to our Terms and conditions.

Editor's Picks

Ripple holds $1.82 support as low retail demand weighs on the token

Ripple (XRP) is trading between a key support at $1.82 and resistance at $2.00 at the time of writing on Thursday, reflecting the lethargic sentiment in the broader cryptocurrency market.

Aster declines for fifth straight day despite buyback efforts

Aster trades under intense selling pressure, recording 3% loss at press time on Thursday. The perpetual-focused exchange resumed its Stage 4 buyback program on Wednesday and currently holds almost 52 million ASTER tokens.

Crypto Today: Bitcoin, Ethereum hold steady while XRP slides amid mixed ETF flows

Bitcoin eyes short-term breakout above $87,000, underpinned by a significant increase in ETF inflows. Ethereum defends support around $2,800 as mild ETF outflows suppress its recovery. XRP holds above at $1.82 amid bearish technical signals and persistent inflows into ETFs.

Bitcoin steadies near $87,000 as strong ETF inflows offset bearish pressure

Bitcoin is attempting to stabilize, holding near $87,000 on Thursday after this week’s pullback. Institutional demand shows signs of optimism, as US-listed spot Bitcoin Exchange-Traded Funds (ETFs) recorded fresh inflows of over $457 million on Wednesday.

Orange Juice Newsletter – Smart insights by real people. Every day.

A free newsletter highlighting key market trends to help traders stay a step ahead. Daily insights on the most relevant trading topics, compiled by our experts in an easy-to-read format so you never miss an important move.

Bitcoin: Fed delivers, yet fails to impress BTC traders

Bitcoin (BTC) continues de trade within the recent consolidation phase, hovering around $92,000 at the time of writing on Friday, as investors digest the Federal Reserve’s (Fed) cautious December rate cut and its implications for risk assets.