Solana Price On The Verge Of 2022-Like Crash To Send It Back To $22?
Solana prices are in the collapse that might reminiscent of the infamous Terra (Luna) of 2022. Bearish trend of Sola’s price action The huge crash at the new low is expected to be $22.
Solana price action reflects Luna’s catastrophic collapse
A pseudonym crypto analyst with a trading landscape analyst named PizzAdriver issued Recent technical analysis of Solana price action. Market experts predict Solana is the sixth largest cryptocurrency in market capitalization. Can soon reject.
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Analysts’ current chart structure in Solana and Luna collapses in 2022. Weekly chart highlights formed by Solana Double top patternthe classic bearish reversal signal goes from uptrend to downtrend. The pattern looks like the letter “M”, which produces two peaks and one tilt between the two. This pattern also means The momentum deteriorates On Solana prices, cryptocurrencies have been facing serious volatility.
In addition to the double-layer pattern, Solana’s Relative Strength Index (RSI) Show bearish divergence. This means that although its price attempts to reach new highs, it cannot be caused by potential weaknesses. Same RSI Bearish divergence This will drop to zero levels before Luna’s infamous market collapses.
According to TradingView analysts Solana is unable to maintain critical support levels And breaking in below, it could trigger a widespread liquidity crisis that would bring its price down to $22, an important historical support level that will appear in 2022 for the last time.
Added to already Regarding price prospects, Major institutional investors appear to have sold their shares and made profits at high prices. These investors reportedly redistributed funds to other safer coins such as Ethereum (ETH) and Binance Coin (BNB), which have been steadily growing on-chain activity, before the Bulls ran. And the value rises in a week. This reassignment Increased rapid risk The sell-off further weakens Solana’s fundamentals.
Carpet tension and high fees weigh Solana
In addition to bearish technical indicators and price forecasts, the Solana ecosystem is currently suffering from investors’ dissatisfaction. Pizzadriver reveals that Solana blockchain has become Meme Coin and speculative trading. In addition, there Carpet pull And abandon projects in the ecosystem, giving investors a sour experience.
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Many developers allegedly created and started projects, stealing investors’ funds and disappearing, thereby weakening trust in the network. and, Solana’s transaction fees Soaring, reaching record highs, and using it as a low-cost trading alternative to Ethereum contradicts the initial appeal.
As a result, investors have begun shifting their focus to long-term projects with transparent roadmaps, security audits and strong partnerships. Due to its numerous ecosystem dilemmas, Tradingview analysts revealed that Solana risk loses its dominance unless these fundamental challenges are addressed.
Featured images from YouTube, charts from TradingView.com
