End Of The Road For Solana? Analyst Predicts 77% Price Crash To $40

by

As a seasoned researcher with over two decades of experience in the financial markets, I have seen my fair share of market predictions that turned out to be wrong. However, the analysis presented by AlanSantana on Solana’s trading volume does pique my interest. The stark contrast between September-October 2024 and September-November 2023 trading activity is noteworthy.

Contrary to popular expectations, a cryptocurrency expert predicts a drop in Solana’s price amidst the prevailing bullish trend. This analyst presents an unconventional viewpoint about this influential player in the crypto market.

Based on the insights of an active cryptocurrency trader known as AlanSantana on TradingView, the substantial trading volume of Solana over the last two months indicates a potential impending price drop or crash.

Analyst Predicts Massive Crash For Solana

In simpler terms, Alan Santana noticed a substantial decrease in Solana’s trading activity from September to October 2024. This reduction typically hints at a negative market sentiment and could potentially indicate a future price drop. Based on this perspective, it seems like the volume pattern might be indicating a slowing down of demand.

The analyst also highlights a difference compared to the trading activity from September to November 2023, noting an increase in Solana’s transaction volume during this period. This surge in trading activity ignited a bullish trend that persisted until the first quarter of 2024, with the momentum pushing Solana to impressive peaks by March.

According to the analyst’s analysis, given the gap between two timeframes and the recent drop in trading activity, there’s a stronger chance that Solana might trend downward significantly. He specifically pointed out a possible crash of Solana below the $50 price point. Remarkably, such a decline would erase the gains made over the past year and bring the cryptocurrency back to its November 2021 price range.

SOL Whales Continue With Activity

Despite a drop in trading volume mentioned by AlanSantana, Solana remains predominantly bullish, with significant increases in activity among large crypto investors or ‘whales’ over the past week. This can be seen through data from on-chain tracking firm Lookonchain.

In a recent post on social media platform X, Lookonchain highlighted three instances of Solana whale addresses withdrawing SOL tokens from crypto exchanges and staking them. The largest withdrawal came from address “AA21…VxH9,” which moved 153,511 SOL tokens worth approximately $26.4 million from Binance to stake them.

A specific whale, tagged as “EHax…gAUa,” recently withdrew approximately 35,498 Solana (SOL) tokens valued at around $6.12 million from Binance and Kraken over the past three days. This whale not only withdrew but also staked these tokens. In a contrasting move, another whale identified as “EGzi…mR7g” purchased 13,000 SOL tokens worth approximately $2.3 million from Binance, increasing its total holdings to about 95,651 SOL tokens.

It’s worth noting that a notable Solana investor, recognized for buying low and selling high, has just offloaded approximately 26,726 SOL, equating to around $3.86 million. At present, this individual still retains 42,729 SOL, now valued at roughly $7.61 million.

Currently, Solana is being traded at approximately $178, marking an increase of 8% over the past week. The buildup of coins and the positive trend suggest a potential bull market, and it appears unlikely that a drop to around $40 will occur anytime soon.

Read More

2024-10-31 01:16