Since the collapse of the FTX crypto exchange and Sam Bankman-arrest Fried’s accusations of fraud, the value of Solana (SOL) has been heading in the wrong direction, despite the backing of FTX’s former CEO.
Solana is now trading at $10.02, a decrease of 10.25% over the last 24 hours and 17.16% for the previous 7 days. According to CoinMarketCap statistics, Solana presently has a total market value of $3.6 billion and ranks seventeenth by market capitalization as investors walk away from purchasing SOL.
Notably, Solana has followed a continuous drop chart pattern over the last week, appearing “bad generally in the short/mid term,” particularly if it loses the crucial region on the Higher Time Frame (HFT) charts, as crypto expert Altcoin Sherpa highlighted on December 26.
The pseudonymous expert said that the most probable outcome for Solana in this circumstance is that it would “most certainly fill the void and $5 will be next.”
And although Solana’s TVL fell from $6.68 billion at the beginning of the year to $209 million as of December 28, it’s interesting to note that this decline occurred simultaneously.
Furthermore, on December 26, after months of speculation, the teams behind the two most prominent Solana NFT projects, DeGods and Y00ts, announced the change on Twitter. Early in 2019, the team announced that DeGods will be migrating to the Ethereum (ETH) blockchain and Y00ts would be migrating to Polygon.
On Twitter Spaces, the project’s leader, Rohun Vora said, “One may argue that [DeGods] has reached its ceiling on Solana.”
Months of NFT friction Several builders in the Solana NFT sector criticized the evacuation on Twitter, but the majority of the collection’s holders celebrated the departure.
Disclaimer: The information provided in this article is for informational purposes only and should not be construed as financial or investment advice. Cryptocurrency investments are subject to market risks, and individuals should seek professional advice before making any investment decisions.