Will Solana Recover and Solana Price Prediction 2023, 2025 and 2030
Will Solana Recover: The current circumstances plus the lack of significant competitive advantage make it difficult for Solana to make a quick recovery. However, Solana will benefit from the overall crypto market recovery.
Solana Price Prediction 2023 is $28.3
Solana Price Prediction 2025 is $53.5
Solana Price in USD
Solana’s Performance in 2022
- Last 1 Month: -58.9% [Eth: -21.5%]
- Last 3 Months: -56.6% [Eth: -20.2%]
- YTD: -92.2% [Eth: -65.8%]
Solana on November 1st had a market cap of over $11 billion but now the market cap of Solana is just over $5 billion. Solana has lost over $6 billion in market cap since November 1st but the major fall began on November 8th and by November 13th the overall market cap of Solana was below $5 billion. Solana has made some recovery since then but not enough to attract investors.
Solana Technical Analysis
Relative Strength Index and Fear and Greed
RSI: SOL price is expected to rise for some time as indicated by the RSI of Solana. The RSI for Solana is at 58.74 and is gradually moving in the upward direction. The upward movement indicates that more buyers have entered the market. SOL will rise more before the RSI enters the over-purchased territory. With the market condition improving Solana is likely to gain for the next few hours. Reversal may happen only after RSI enters the overvalued zone.
Fear and Greed: After being within the Extreme Fear zone in the last few days, Solana now entered the Greed territory as more buyers have flocked in the last 24 hours. This can be clearly seen in the trading volume of Solana which is on a rise in the last 24-hours.
Solana Technical Analysis (Moving Average)
Solana’s price started to fall after the 200-day SMA (Green) formed a Death Cross with a 50-day Moving average (black). On the chart below, Solana’s price has once again started to rise. SOL has been moving below both the 50-day and 200-day Moving Average but in the last 24 hours, SOL started to move above the 50-day SMA. This indicates a short-term gain and traders looking to make short-term gains may find this level as a point to enter the market.
Solana however, is trading below the 200-day MA which may not be a good sign for long-term traders.
Solana has found its support at $13.01 and the resistance is at $15.91. We predict a bullish momentum and the trade recommendation is Buy.
SOLANA Volume vs Price (Last 30 Days)
SOL Video Analysis
Why did Solana Crash?
- The latest FTX exchange turmoil and the crash of the FTT coin affected the entire crypto market but Solana was the most affected. The TVL of Solana crashed from being over $620 M on November 9th to below $342 M on November 13th. The downfall of FTX led to massive turmoil for Solana and Solana-linked platforms. One of the biggest meltdowns was the price of the SOL token falling below $20 and the overall market cap of Solana going below the Top 10 rank.
- Solana Foundation has 3.24m shares of FTX Trading LTD. Solana Foundation holds 3.43m FTT tokens and 134.54m SRM tokens from the decentralized exchange (DEX), Project Serum which is a Solana-based DEX founded by Bankman-Fried.
- Lending and borrowing platform Solend, running on the Solana blockchain saw the value of its assets dropping from $280 million on Nov. 2 to under $30 million now.
- Solana DeFi saw almost $700M in Value Wiped Out on FTX Fallout.
Will Solana Recover?
Solana has been the worst-performing cryptocurrency when compared to the performance of Cardano and Ethereum this year. In the last 2 months, Ethereum has made some progress but for Solana, there has been almost no change in the outlook.
Without further innovations that help consumers and businesses, the Ethereum Blockchain Ecosystem including Ethereum, Polygon, Uniswap, and ImmutableX will continue to rise faster than either Solana or Cardano.
Solana’s only hope is an improvement in the larger Macroeconomic picture which increases liquidity and Solana too would get some share just for better risk management.
Solana’s major issue has been that it has witnessed massive crashes not just due to the deteriorating market condition but also due to its own network outrages.
Solana’s price has fallen below $20 and now the overall market cap of Solana fell lower than Shiba Inu. Solan has recovered marginally and now its market cap is higher than Shiba Inu once again.
Solana is now ranked 15th on total market cap. It was ranked 8th on November 7th.
Is Solana a Good Investment? Will Solana Go up?
The Solana platform offers excellent performance without any layer-2 or off-chain solutions. Solana’s Proof of History is its key distinguishing feature, which gives it the highest throughput among Layer-1 chains. Solana’s hybrid consensus method trades decentralization for speed. Solana’s creative integration of PoS and PoH is a revolutionary concept in the blockchain space. Similar to Ethereum, Solana has built its own Layer 1 solution for NFTs and it is one of the fastest-growing ecosystems.
- Faster Than Ethereum: The Solana blockchain is the fastest in the world and has been recognized as such by the industry. It is currently delivering at 2600 transactions per second with a finality time of four seconds.
- Low Fee: Solana differs from all of these other projects because it uses a consensus algorithm called Proof of History (PoH). Unlike traditional Proof-of-Work (PoW) algorithms, PoH does not require an expensive mining process; instead, it relies on verifiable mathematical proof instead of computational power. This means there will be no mining fees on the network, and transaction costs will be meager.
- NFT and Smart contracts: Solana has jumped into the NFT market and is ready to share its NFT option. Solana has been looking at non-fungible tokens and smart contracts as a way to expand their business, but they want to ensure they’re doing it right. The NFT industry has gone wild over the last year, and many companies are jumping on board.
- The non-fungible tokens became a high-growth industry opportunity followed by epic sales hosted by eminent digital artists. Leveraging this expanding industry, Solana jumped into the market to share the NFT option with everyone.
- Solana Leads In the Derivatives market: Solana has incredible activity in its on-chain data and derivatives market. The network’s TVL has increased by over 15% in the last six months. It seems to close the gap between TVL, active users, and the derivatives market.
However, Solana is largely undifferentiated and hence not a good investment at the moment.
Will Solana go up? Irrespective of whether Solana is a good investment, Solana is likely to go up over the next 12 months after the after-effects of FTX are over and the liquidity improves in the market. There are some areas where Solana will do well (NFT for example) and hence the current price is likely to go significantly higher over the next 12 months.
Solana Price Prediction 2023-2030
Solana Price Prediction 2023
Solana Price Prediction 2023 is $28.3
Solana Crypto Prediction 2025
Solana Crypto Prediction for 2025 is $53.5.
Solana Price Prediction 2030: Future of Solana in 2030?
There will be a massive transformation in the financial industry by 2030. We may see digital currencies or digital modes of payment replace traditional methods of payment in the near future.
The financial industry has undergone significant changes since the COVID-19 pandemic. As a result of the recent Ukraine-Russia war, which resulted in Russia being dropped from SWIFT’s payment solution, more alternative methods of global payment solutions became available. Cash may no longer be used for payment, and borderless payment will be completed in a lot less time than it does now.
Talking about the future of Solana will more likely depend on the NFT market rather than the payment industry. With the evolution of blockchain technology, the value of a token will more likely depend upon the expansion of its blockchain network. Solana is more concerned about being the top NFT platform. As per one estimate, more than 200,000 people buy and sell NFTs every month. The current NFT market stands at $20.44 billion and it is expected to rise 10 folds by 2030 taking the valuation to $211.74 billion in 2030.
Solana’s market share of the total NFT trading volume rose from 7% to 24% according to Delphi Digital. In January 2022, JPMorgan published a report that Ethereum, which has the largest share in the NFT world is losing its market share to Solana.
Now considering the market condition to improve in the next few months and the NFT market to rise higher, we can say that future of Solana is very fascinating and in turn, this will help the price of SOL tokens to rise.
Considering the SOL Price prediction 2030 from multiple platforms and taking the average of it, Solana Price Prediction 2030 is $265.7.
Solana Price Prediction 2040
For 2040 Solana’s Price Prediction is $3922. To touch this mark, Solana has to gain a minimum of 30% a year.
Will Solana reach 1000?
Solana will reach $1000 in just 16 years if it rises at a conservative 25% every year. However, as we saw with Solana in 2021 and Ethereum between 2016 and 2021, and Bitcoin between 2010 and 2021, exponential growth cannot be ruled out. For example, Solana must rise only 32x to reach the target. It rose by 100x in 2021. Bitcoin and Ethereum have risen at a much faster pace despite their size.
So the growth expectations are not unreasonable. However, Solana has formidable competitors in the form of Ethereum, Cardano, and even Polygon. Gaining share in the future when growth will be far lower than today will be a huge challenge. We believe 16 years is too long into the future to take an investment decision in Cryptocurrency. Much more so because of Solana’s lack of competitiveness with respect to Ethereum.
Solana Price Prediction $1000
In theory, a price of $1000 is highly feasible but given the current market and intensity of competition, we believe an investor should not look at investing in Solana from too much of a long-term perspective. Perhaps a 2-3 year horizon is more predictable and will deliver healthy returns.
What is Solana?
Solana is a blockchain platform that supports smart contracts including NFTs. It was created as a competitor to the Ethereum blockchain network. As it is known that most cryptocurrency projects are based upon the Ethereum blockchain, the Solana blockchain serves as an alternative to it. One of the popular cryptocurrencies based on the Solana blockchain network is Stepn. Here are some facts about Solana:
- Solana is a public blockchain network with integrated smart contract functionality.
- SOL is the native token of the Solana blockchain network.
- Solana was first proposed by Anatoly Yakovenko in November of 2017.
- The first block of Solana was created on March 16, 2020.
- Solana uses a consensus mechanism between proof of stake and proof of history.
Competition of Solana: Ethereum, Cardano.
Solana has had a terrible year and underperformed Ethereum. Ethereum is a key rival of Solana. The big question is will Solana recover?
NFT: According to Cryptoslam, sales of NFT on the Solana blockchain have fallen from $311 M in April 2022 to $68 M in October 2022. Ethereum too was struggling with sales on the Ethereum blockchain having fallen $3.3 B in April to $324 M in August. Transaction on ImmutableX which is on Ethereum has fallen from $35M to $23 M. Cardano too has picked up momentum in October.
DeFi: According to DeFiLlama, DeFi TVL on the Solana blockchain at $330M, has fallen from nearly $5B in April. In the case of Ethereum, TVL has fallen from nearly $60 B in April to $25 B in November.
Other Transactions: Very few tokens are hosted on Solana as compared to Ethereum which means that Eth has begun to recover as trading volumes are up on Tokens like Shiba Inu and Matic which are linked to Ethereum.
Overall, Solana has done a reasonable job on NFTs but not so on DeFi. On NFTs, Cardano has been during and ImmutableX has reduced the gap. Overall momentum is negative.
Solana Price Prediction: Comparing Solana Vs Cardano on the following aspects:
Why is Solana struggling versus Ethereum?
Solana has been deemed as the “Ethereum Killer” but the reality remains beyond it. The best bet for Solana blockchain has been its speed but beyond that Solana has failed to compete with Ethereum.
- In order to differentiate itself, every blockchain network has tried to occupy a particular market, Solana portrayed itself as one of the biggest NFT players. However, it is lagging way behind Ehterum even in the field of NFT. More than 90% of the NFTs have been created as ERC-721 tokens on the Ethereum network.
- Similar to Ethereum, Solana has built its own Layer 1 solution for NFTs and it is one of the fastest-growing ecosystems but when compared to Ethereum, Solana remains to be a minor player in the NFT world.
- One of the advantages of Solana over Ethereum was that the Soalan blockchain was more environmentally friendly. However, with Ethereum Merge, the ETH blockchain will be moving from a proof-of-work model to an environmentally friendly proof-of-stake ecosystem.
Solana Prediction: How to buy Solana?
Solana can be purchased in many ways.
(A). Use your currency (Dollars, Pounds etc) to buy Solana on any of the Cryptocurrency Exchanges – Coinbase, FTX, Binance etc
(B). Use your existing cryptocurrency wallet and a DEX to exchange your cryptocurrency with another cryptocurrency
If you wish to purchase from a cryptocurrency exchange, the process if fairly simple
- Create an account with any of Coinbase, Binance, FTX, Crypto.com, Kraken etc. This will need some basic documentation that ensures KYC so that these exchanges are not used for Money Laundering. Bigger exchanges tend to have a higher fee while smaller tend to lower fees but are regarded as less safe.
- Each of these exchanges has various features and transaction fees. So evaluate them carefully.
- Add a payment method (Bank account, debit or credit card, wire transfer) and then fund the account
- Start trading by selecting SOL trading symbol and then enter the quantity
- On Binance, you can use peer to peer method to buy from other users
- You can store your crypto in the trading account or your personal wallet(You need to open another account for that)
Note: Crowdwisdom360 collates Predictions and data from all over the net and has no in-house view on the likely trends in the Index or Individual Stocks. Please consult a registered investment advisor to guide you on your financial decisions.