Will Solana (SOL) Be the Shining Star of the Bull Market?
- About 250,000 to 700,000 SOL have been offered day by day by FTX for the final three weeks.
- SOL’s value jumped above $60, as GSOL’s premium additionally elevated.
- Whereas the worth could retrace, it could not take lengthy earlier than SOL hits $70.
Regardless of being a notable casualty of the FTX contagion in 2022, Solana (SOL) has defied all odds in 2023, as the worth continues to outshine its friends. Within the final 30 days, the worth of SOL has elevated by 180%, rising as excessive as $62 on November 11.
Nonetheless, the rising value of SOL shouldn’t be the one fascinating factor the token has proven by the token. For a token that was as soon as described as useless, it has proven super energy. Coin Version got here to this conclusion due to a submit by dealer Bluntz Capital.
The Large Gamers Are Right here
In keeping with Bluntz, FTX, after getting the go-ahead to liquidate its property, has been promoting round 250,000 to 700,000 day by day for the final three weeks. Whatever the gross sales, SOL has did not nosedive. Reasonably, the worth has chosen the upside.
In the meantime, there have been different entities backing the SOL value motion. One of many main ones is the Grayscale Solana Belief (GSOL). In contrast to, SOL which permits possession, GSOL solely permits buyers to achieve publicity to Solana with out really proudly owning the token.
A take a look at Yahoo Finance’s information confirmed the worth per share of the asset was $202. Additionally, the premium price has grown by 76.99% within the final 24 hours. This progress implies that there was a surge in institutional cash allotted to GSOL.
SOL Resists Reversal, Eyes $70
In return, the SOL worth has additionally proven excellent energy and resisted promoting stress. Additionally, if the institutional liquidity continues to circulate into the Solana market, SOL could not decelerate on its progress.
Nonetheless, the Relative Power Index (RSI), as proven by the SOL/USD day by day chart was 88.28. Sometimes, RSI readings like this are thought of overbought. So, the SOL value is meant to reverse.
Whereas the worth had dropped from $62, the bullish sentiment the market has and the demand for the token has ensured that it hasn’t fallen beneath $58. Ought to SOL maintain the present shopping for momentum, then the worth could head within the $70 course.
However earlier than that, there’s a likelihood {that a} retrace happens, in all probability to $55. The higher band of the Bollinger Bands (BB) touched SOL at $58.93 and in addition confirmed that it was overbought. Nonetheless, the BB enlargement implies that there could possibly be huge value fluctuations within the brief time period.
So, anticipating an exponential improve within the SOL worth shouldn’t be out of order. In the long run, there’s a excessive likelihood that SOL outperforms plenty of blue-chip cryptocurrencies contemplating the present hype round it.
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