{"id":47649,"date":"2023-04-01T10:34:43","date_gmt":"2023-04-01T10:34:43","guid":{"rendered":"https:\/\/egrowonline.com\/?p=47649"},"modified":"2023-04-01T10:34:43","modified_gmt":"2023-04-01T10:34:43","slug":"solana-overcomes-ftx-fiasco-sol-price-gains-100-in-q1","status":"publish","type":"post","link":"http:\/\/egrowonline.com\/?p=47649","title":{"rendered":"Solana overcomes FTX fiasco \u2014 SOL price gains 100% in Q1"},"content":{"rendered":"


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The price of Solana (SOL<\/a>) fell nearly 95% in 2022, partly due to its association with tainted crypto entrepreneur Sam Bankman-Fried<\/a> and his collapsed ventures,\u00a0FTX<\/a> and Alameda Research<\/a>. But so far in 2023, things have improved for SOL\u2019s price.<\/p>\n

Solana\u2019s price doubles in Q1\/2023<\/h2>\n

Solana\u2019s price has risen 104% to around $20.60\u00a0per SOL in the first quarter of 2023, the highest gains compared to any cryptocurrency in the top 25, including Bitcoin (BTC<\/a>) and Ether (ETH<\/a>).<\/p>\n

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Solana beats top-ranking assets\u2019 Q1\/2023 returns. Source: Messari<\/em><\/figcaption><\/figure>\n

In fact, January was Solana\u2019s best month<\/a> since August 2021 in terms of price performance. <\/p>\n

SOL\u2019s price rallied by about 140% in it without any major fundamentals that could have driven the rates up. Nonetheless, the SOL\/USD pair became excessively oversold in December 2022, which may have influenced traders to buy the dip<\/a>.\u00a0<\/p>\n

The rally also coincided with Messari\u2019s analysis of the Solana ecosystem<\/a> after the FTX collapse, showing its staking and decentralization were stable and actually improved its position after the FTX fiasco.<\/p>\n

\u201cSolana will continue to release a multitude of initiatives, including network upgrades, ecosystem developments, and community efforts, to name a few,\u201d wrote James Stautman, a researcher at Messari, adding: <\/p>\n

\u201cAfter a tumultuous year fraught with one challenge after another, light appears to be at the end of the tunnel heading into 2023.\u201d<\/p><\/blockquote>\n

In other words, the market may have overreacted to Solana\u2019s ties with Bankman-Fried in Q4 of last year, resulting in a sharp rebound.<\/p>\n

What\u2019s next for SOL\u2019s price?<\/h2>\n

Solana underperformed the broader crypto market in February and March after SOL\u2019s January spike left it technically overbought. <\/p>\n

Related:\u00a0Solana plans to improve its blockchain: Here\u2019s how<\/a><\/em><\/strong><\/p>\n

Solana\u2019s price lost about 40% from the January peak. Its market dominance (SOL.D) also dropped from 0.98% in January to 0.69% in March, suggesting that traders rotated capital elsewhere.\u00a0<\/p>\n

SOL.D monthly price chart. Source: TradingView<\/em><\/figcaption><\/figure>\n

Nevertheless, as of March 31, Solana is trading above two technical support levels: a horizontal trendline that has capped SOL\u2019s downside attempts mostly throughout Q1\/2023 and an ascending trendline that served as backup support in early March when the horizontal one failed.<\/p>\n

These two support levels have converged. Therefore, SOL\/USD now eyes a short-term bounce from there toward a multi-month support\/resistance flip level of around $26.50, as shown below.\u00a0<\/p>\n

SOL\/USD daily price chart. Source: TradingView<\/em><\/figcaption><\/figure>\n

That leaves Solana with a 30% upside prospect in April. Conversely, a drop below the two support levels could have SOL\u2019s price retest its March low of $16 as the next downside target.<\/p>\n

This article does not contain investment advice or recommendations. Every investment and trading move involves risk, and readers should conduct their own research when making a decision.\n<\/p>\n<\/div>\n


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The price of Solana (SOL) fell nearly 95% in 2022, partly due to its association with tainted crypto entrepreneur Sam Bankman-Fried and his collapsed ventures,\u00a0FTX and Alameda Research. But so far in 2023, things have improved for SOL\u2019s price. Solana\u2019s price doubles in Q1\/2023 Solana\u2019s price has risen 104% to around $20.60\u00a0per SOL in the […]<\/p>\n","protected":false},"author":1,"featured_media":47650,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":"","jetpack_publicize_message":"","jetpack_publicize_feature_enabled":true,"jetpack_social_post_already_shared":true,"jetpack_social_options":{"image_generator_settings":{"template":"highway","enabled":false}}},"categories":[40],"tags":[12358,2258,615,3620,195,565,84],"class_list":["post-47649","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-market-analysis","tag-fiasco","tag-ftx","tag-gains","tag-overcomes","tag-price","tag-sol","tag-solana"],"jetpack_publicize_connections":[],"jetpack_sharing_enabled":true,"jetpack_featured_media_url":"http:\/\/egrowonline.com\/wp-content\/uploads\/2023\/04\/6e951d4c-eac3-4a5e-b69a-4f71b994e1ba.jpg","_links":{"self":[{"href":"http:\/\/egrowonline.com\/index.php?rest_route=\/wp\/v2\/posts\/47649","targetHints":{"allow":["GET"]}}],"collection":[{"href":"http:\/\/egrowonline.com\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"http:\/\/egrowonline.com\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"http:\/\/egrowonline.com\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"http:\/\/egrowonline.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=47649"}],"version-history":[{"count":1,"href":"http:\/\/egrowonline.com\/index.php?rest_route=\/wp\/v2\/posts\/47649\/revisions"}],"predecessor-version":[{"id":47651,"href":"http:\/\/egrowonline.com\/index.php?rest_route=\/wp\/v2\/posts\/47649\/revisions\/47651"}],"wp:featuredmedia":[{"embeddable":true,"href":"http:\/\/egrowonline.com\/index.php?rest_route=\/wp\/v2\/media\/47650"}],"wp:attachment":[{"href":"http:\/\/egrowonline.com\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=47649"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"http:\/\/egrowonline.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=47649"},{"taxonomy":"post_tag","embeddable":true,"href":"http:\/\/egrowonline.com\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=47649"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}