{"id":13276,"date":"2022-12-03T12:55:01","date_gmt":"2022-12-03T16:55:01","guid":{"rendered":"http:\/\/cryptocornercafe.com\/cafe\/?p=13276"},"modified":"2022-12-03T12:55:01","modified_gmt":"2022-12-03T16:55:01","slug":"ftx-crash-triggers-major-selloff-in-solana-price-how-deep-will-sol-dive","status":"publish","type":"post","link":"http:\/\/cryptocornercafe.com\/cafe\/2022\/12\/03\/ftx-crash-triggers-major-selloff-in-solana-price-how-deep-will-sol-dive\/","title":{"rendered":"FTX Crash Triggers Major Selloff In Solana Price \u2013 How Deep Will SOL Dive?"},"content":{"rendered":"

Solana (SOL), post-FTX life, has been very rough.\u00a0On a monthly and biweekly time frame, CoinGecko data<\/a> shows bearishness, while daily and weekly time frames show modest appreciation.<\/p>\n

What this proves is that the wounds left by the demise<\/a> of FTX have not been healed by Solana\u2019s native token.<\/p>\n

Ever since FTX collapsed, SOL has been losing a huge amount energy.<\/p>\n

As bearish signals continue to emerge from technical analysis, the price decrease is likely to continue.<\/p>\n

It\u2019s possible that prices will fall down below the 61.80 Fibonacci level, which is now at $12.58.<\/p>\n

This may be because Alameda<\/a> Research, FTX\u2019s sibling in the business, had a significant role in the Solana ICO.<\/p>\n

Investor trust plummeted as concerns about Solana\u2019s close ties to SBF and his company developed in the wake of the failing exchange\u2019s holding of almost a billion in SOL.<\/p>\n

Is The Star Just Fading Or Dying?<\/h2>\n

SOL was the poster child of DeFi in that side of the crypto industry. As of writing, the token is trading at a red candle at $13.55, a staggering 62.2% decrease in value from its $36.83 price pre-FTX.<\/p>\n

However, Solana\u2019s prospects are bleak even before the crash. Messari\u2019s Q3 report on Solana reveals that only certain ecosystem components, such as NFTs, have truly stabilized and even flourished.<\/p>\n\n

Chart: TradingView<\/p>\n

However, the token\u2019s technical aspects show potential. The RSI readings are oversold, while the metric is slowly gaining pace. This is backed by a favorable increase in the CMF index.<\/p>\n

However, this occurs on a daily basis. In the 4-hour time frame, it created a triangle that is, to say the least, bearish.<\/p>\n

With a Pearson\u2019s R score of 0.7, the regression channel confirms a further downward push, indicating that a downtrend is more likely than an uptrend.<\/p>\n

The narrow BB channel is likewise extremely bearish. Not to mention the resistance posed by the center band.<\/p>\n

Anxiety Pervading In Solana\u2019s Ecosystem?<\/h2>\n

FUD (fear, uncertainty and doubt)\u00a0is prevalent in this case.<\/p>\n

The market is dominated by fear and a negative market mood as a result of Solana\u2019s tight relations\u00a0to FTX.<\/p>\n

The 4-hour timeline provides insight about SOL\u2019s future course. The $13.07 is a vital support zone for SOL to stay out of extinction.<\/p>\n

If the indicated support is breached by the bears, a plunge below the 61.80 Fibonacci level is not out of the question.<\/p>\n\n

SOL total market cap at $4.9 billion on the weekend chart | Featured image from Business 2 Community, Chart: TradingView.com<\/a><\/p>","protected":false},"excerpt":{"rendered":"

<\/p>\n

Solana (SOL), post-FTX life, has been very rough.\u00a0On a monthly and biweekly time frame, CoinGecko data<\/a> shows bearishness, while daily and weekly time frames show modest appreciation.<\/p>\n

What this proves is that the wounds left by the demise<\/a> of FTX have not been healed by Solana\u2019s native token.<\/p>\n

Ever since FTX collapsed, SOL has been losing a huge amount energy.<\/p>\n

As bearish signals continue to emerge from technical analysis, the price decrease is likely to continue.<\/p>\n

It\u2019s possible that prices will fall down below the 61.80 Fibonacci level, which is now at $12.58.<\/p>\n

This may be because Alameda<\/a> Research, FTX\u2019s sibling in the business, had a significant role in the Solana ICO.<\/p>\n

Investor trust plummeted as concerns about Solana\u2019s close ties to SBF and his company developed in the wake of the failing exchange\u2019s holding of almost a billion in SOL.<\/p>\n

Is The Star Just Fading Or Dying?<\/h2>\n

SOL was the poster child of DeFi in that side of the crypto industry. As of writing, the token is trading at a red candle at $13.55, a staggering 62.2% decrease in value from its $36.83 price pre-FTX.<\/p>\n

However, Solana\u2019s prospects are bleak even before the crash. Messari\u2019s Q3 report on Solana reveals that only certain ecosystem components, such as NFTs, have truly stabilized and even flourished.<\/p>\n

Chart: TradingView<\/p>\n

However, the token\u2019s technical aspects show potential. The RSI readings are oversold, while the metric is slowly gaining pace. This is backed by a favorable increase in the CMF index.<\/p>\n

However, this occurs on a daily basis. In the 4-hour time frame, it created a triangle that is, to say the least, bearish.<\/p>\n

With a Pearson\u2019s R score of 0.7, the regression channel confirms a further downward push, indicating that a downtrend is more likely than an uptrend.<\/p>\n

The narrow BB channel is likewise extremely bearish. Not to mention the resistance posed by the center band.<\/p>\n

Anxiety Pervading In Solana\u2019s Ecosystem?<\/h2>\n

FUD (fear, uncertainty and doubt)\u00a0is prevalent in this case.<\/p>\n

The market is dominated by fear and a negative market mood as a result of Solana\u2019s tight relations\u00a0to FTX.<\/p>\n

The 4-hour timeline provides insight about SOL\u2019s future course. The $13.07 is a vital support zone for SOL to stay out of extinction.<\/p>\n

If the indicated support is breached by the bears, a plunge below the 61.80 Fibonacci level is not out of the question.<\/p>\n

SOL total market cap at $4.9 billion on the weekend chart | Featured image from Business 2 Community, Chart: TradingView.com<\/a><\/p>\n

<\/p>\n","protected":false},"author":0,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"colormag_page_layout":"default_layout","_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[82],"tags":[],"class_list":["post-13276","post","type-post","status-publish","format-standard","hentry","category-blockchain"],"jetpack_featured_media_url":"","jetpack_sharing_enabled":true,"_links":{"self":[{"href":"http:\/\/cryptocornercafe.com\/cafe\/wp-json\/wp\/v2\/posts\/13276","targetHints":{"allow":["GET"]}}],"collection":[{"href":"http:\/\/cryptocornercafe.com\/cafe\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"http:\/\/cryptocornercafe.com\/cafe\/wp-json\/wp\/v2\/types\/post"}],"replies":[{"embeddable":true,"href":"http:\/\/cryptocornercafe.com\/cafe\/wp-json\/wp\/v2\/comments?post=13276"}],"version-history":[{"count":0,"href":"http:\/\/cryptocornercafe.com\/cafe\/wp-json\/wp\/v2\/posts\/13276\/revisions"}],"wp:attachment":[{"href":"http:\/\/cryptocornercafe.com\/cafe\/wp-json\/wp\/v2\/media?parent=13276"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"http:\/\/cryptocornercafe.com\/cafe\/wp-json\/wp\/v2\/categories?post=13276"},{"taxonomy":"post_tag","embeddable":true,"href":"http:\/\/cryptocornercafe.com\/cafe\/wp-json\/wp\/v2\/tags?post=13276"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}