- Solana’s network is facing a drop in activity. It is also expecting an important token release ahead.
- SOL’s price will likely fall below the $180 Support Zone
Solana [SOL] The last couple of weeks have been difficult for the recent bearishness Tokens have been impacted by changes across the board. Altcoins’ prices have fallen from $256 to $173, in less than a week. This is a drop of 32%, but there could still be more to come for one the most prominent cryptocurrencies on the market.
Source: Messari
As part of FTX asset liquidation, FTX will release 11,2 million SOL worth $1.4bn on the 1st March. The exchange collapsed in November 2022 and sold 41 millions SOL to investors like Galaxy Digital, Pantera Capital and Figure Markets.
This unlocking could result in increased volatility. potential price drop.
Solana’s Ecosystem controversy reduces demand and network activity
Source: Glassnode
Launch and rug pulling of controversial LIBRA memecoin that Argentine president Javier Milei had promoted on social media for a short period has turned into a scandal. The Argentine flagship index S&P Merval fell 5% on Monday, 17 February, after the President’s memecoin Tweet, which was created in 2009 and has been deleted. deleted.
Ben Chow (CEO of Meteora) was the person who launched the memecoin, which is not the first time the Solana Chain has been used. step down from his role DeFi’s platform is led by the DeFi team.
It is not surprising that network activity has been affected by all of the recent news surrounding Solana. Now, the number of addresses active is well below January’s low and has reached levels seen in October 2024. The number of active addresses is now well below its January lows, reaching levels from October 2024.
Source: Glassnode
Total transaction fees fell also to their lowest levels since late December.
The lower trading volume was also implied. Solana, however, remains one of the best performers over time. Its revenue is almost ten times greater than Ethereum [ETH]Although its Total Value Locked (TVL), is behind significantly behind.
SOL/USDT trading view
The price movement revealed that the structure was bearish. Price was below $175 Fibonacci level and $180 has fallen to the bears. Price action was bearish, indicating that $180 to $190 could be the next target.
It is expected to continue its downward trend in the next few days.
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Source: ambcrypto.com
