Solana's native cryptocurrency, SOL, has experienced a significant increase in price, rising 24% today.
While this trend is expected to continue in the short term, analysts predict that a correction is likely to occur in the near future. This potential correction could be influenced by the ongoing fallout from the FTX incident and the recent decrease in value of the BONK meme coin, which has fallen 67.5% in just four days.
According to one analyst who applied the Elliott Wave trading pattern to Solana's performance over the past few months, SOL may retrace to around $12. However, it is suggested that this could present a good opportunity to buy. Despite the recent price pump, on-chain activity within the Solana ecosystem has remained sluggish, with only a 9% increase in DeFi TVL and activity. Solana has also been facing technical issues, including the Foundation's RPC endpoints going offline due to a bug.
Despite these challenges, some experts remain confident in the strength of Solana's technology and community, with more developers reportedly joining the ecosystem.
Auteur: Brian Leclere
