Solana
Will Solana’s recovery be delayed? What worries investors?
- Solana revenues did not increase despite low network congestion
- Volatility around SOL decreased, indicating that a breakout was not near.
THE Solana [SOL] The blockchain was hit on June 23, with its revenue hitting its lowest point in the last seven days. At the time of writing, the project income was $626,900.
The value was an indication of the economic value of Solana. The decrease in revenue from a Solana upgrade that took place a few days ago.
June 10, AMBCrypto reported how the project asked validators to move to a new node.
The idea behind this development was to resolve the congestion issues that blockchain has been experiencing for some time.
As a result, fees were no longer unusually high and Solana appeared to have maintained its high throughput of 2,000 to 3,000 transactions per second (TPS).
Source: Artemis
Success is not final for Solana
The proof is reflected in the number of successes transactions. According to Dune, the number of voting transactions was 206.94 million. On the other hand, non-voting transactions amounted to 37.57 million.
A no-vote transaction occurs when market participants transfer SOL between Solana accounts or smart contracts. A voting transaction is one submitted by validators on the blockchain.
Therefore, the increase implies that most transactions got away compared to the period when around 75% of non-voting transactions failed.
Source: Dunes
Furthermore, this development could affect SOL Price Prediction. At press time, the token’s price was $133.71. As SOL attempted to move to $140 on June 22, bears disrupted this effort.
However, it might be difficult for the token to reach a higher price in the short term. This was due to annualized volatility.
SOL will continue its lateral movement
Volatility shows how quickly prices can move. If the volatility level is high, it means that the price can reach an extremely high level in a short period of time.
However, low volatility implies the opposite. For Solana, the 200-day annualized volatility was 77.80%. Over the last 90 days, the 66.30%.
But at press time, it had fallen to 39.60%, according to Dune data. The decrease in this metric implies that SOL could retain swinging in a narrow range in the coming days.
Source: Dunes
If this condition remains the same, the value of the cryptocurrency could move between $130 and $140.
Additionally, the Relative Strength Index (RSI) showed bearish momentum. The RSI uses the speed and magnitude of price changes to show the momentum of a cryptocurrency.
Readings above 70 indicate that an asset is overbought, while those below 30 indicate that it is oversold. At press time, the RSI on the SOL/USD chart was down at 45.00.
Read by Solana [SOL] Price prediction 2024-2025
The downtrend of the indicator revealed that the momentum was bearish.
Source: Santiment
So, the SOL price prediction could be a downtrend in the short term. However, invalidation could occur if prices in the wider market start to rise.