Solana’s price has declined by 1% in the past 24 hours, dropping to $95.08 after the coin’s network suffered its first outage for almost a year yesterday.
Because of the five-hour disruption, SOL has now declined by 6% in a week, although the alt remains up by 10% in a fortnight and by 300% in the last 12 months.
Its fall yesterday also saw somewhere in the region of $3 million long positions liquidated, something which further heaped the pain on its price.
Yet if Solana can quickly recover from yesterday’s outage and spend another good few months (and longer) without another outage, SOL is likely to rise again sooner or later.
Solana Price Prediction as Outage Leads to $3 Million in Longs Liquidated – Can SOL Recover?
It’s arguably encouraging that SOL hasn’t flinched that much since the outage, with its indicators in middling positions.
For instance, its relative strength index (purple) currently sits at 50, a position from which the coin could just as easily fall further as recover.
Source: TradingView
Its 30-day moving average (yellow) has also flattened out in recent days, which could be a good sign insofar as it isn’t sinking, yet some analysts may argue that it’s on the cusp of a decline.
Indeed, the 30-day has been so far above the 200-day average (blue) for so long that it would seem like the Solana price is due a fall.
Yet supporters may argue that it’s a sign of SOL’s strength that, even with a five-hour outage, it still hasn’t suffered a serious drop in value.
And while the coin’s trading volume has declined from nearly $4 billion at the start of the month to $1.8 billion today, its current level is still far in excess of many other tokens.
It still seems to be attracting whales, with a number of significant transfers from exchanges in the past week or so.
But while its short-term picture still looks good, yesterday’s outage raises the possibility of significant pain to come in the medium- and/or long-term.
We gave Solana the benefit of the doubt a few years ago when it was routinely down. But I don’t see how the market can allow such incompetence to slide now. Send this brokeb centralized VC chain to zero with haste.
— Beanie (@beaniemaxi) February 6, 2024
That is, if Solana suffers another outage in the near future, it could fatally shake confidence in the platform.
That’s because the general narrative was that Solana had turned a corner and improved meaningfully since 2022, when it suffered several outages.
One isolated outage this year is arguably forgivable, but if another follows then the market may not be quite as charitable.
The Solana price would suffer seriously as a result, although for now it may recover to $100 in the next few weeks.
Newer Altcoins with High-Return Potential
Some traders may prefer to leave SOL alone for a while in order to be sure that another outage won’t be happening again anytime soon.
If so, they may opt to investigate newer tokens, with several presale tokens looking very promising at the moment.
One of the most exciting is Bitcoin Minetrix (BTCMTX), a new stake-to-mine platform that has raised more than $10.3 million in its ongoing presale.
Identifying the potential of mining $BTC through #BitcoinMinetrix!
Venturing into #Crypto mining effortlessly:
Easy start for newcomers.
Affordable without hardware costs.
No concerns about space, noise, or heat.
Smooth upgrades with zero hassle. pic.twitter.com/PouV3K6EQo
— Bitcoinminetrix (@bitcoinminetrix) February 4, 2024
Running on the Ethereum blockchain, Bitcoin Minetrix will enable users to mine Bitcoin (BTC) by staking its native BTCMTX token.
Users who stake BTCMTX receive tokenized mining credits, which they can then use to pay for Bitcoin mining.
This entitles them to a share in mined BTC, while staking also secures them a regular stream of newly issued BTCMTX.
Bitcoin Minetrix has designed its platform to be easy to use and navigate, and combined with its potential profitability, it’s likely to attract a healthy following.
This is certainly suggested by its successful presale, which investors can still join by visiting the official Bitcoin Minetrix website.
Discovering the advantages of #BitcoinMinetrix:
Seamless accessibility for added convenience.
Simplified pricing model for improved effectiveness.
Enjoy peace of mind knowing there are no concerns about reselling. pic.twitter.com/bgRoGoggaM
— Bitcoinminetrix (@bitcoinminetrix) February 6, 2024
They can currently buy BTCMTX at a price of $0.0133 per token, although this will rise to $0.0134 in three days.
Of course, this price could rise even higher once the token lists on exchanges, and if its presale is any indication, it may rally big.
The post Solana Price Prediction as Outage Leads to $3 Million in Longs Liquidated – Can SOL Recover? appeared first on Cryptonews.
