Solana’s price is unstable following an exploit by hackers draining funds with the use of external applications. Around 8,000 wallets were hacked from Phantom and Solana, with roughly $8 million stolen from users. The coin’s price immediately nosedived to $40 with support at $35.
A Solana NFT marketplace, Magic Eden, advised wallet users of Phantom and Solana to revoke their permissions found on the wallet application’s setting.
Fortunately, only some wallets were drained of funds, and the network wasn’t jeopardized in its entirety. Yesterday, the trading volume is in pitch red when the news of the exploit broke out. In an instant, many users were in panic and trying to move or sell their coins
According to CoinMarketCap, the crypto’s price has spiked by 3.07% or at $40.12 as of this writing.
Chart from TradingView.com
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Solana RSI Down 50 Points, Bearish Momentum Seen
The daily chart shows RSI cascading down by 50 points, indicating a bearish trend and an extensive correction.
MACD also showed a bearish cross pattern which may trigger the plunge of SOL closer to $35 or even lower in the next days.
SOL price is now going the bearish lane and a breach below the ascending triangle pattern is bound to validate that. When this happens, SOL should retest at $35. With SOL experiencing a lot of hits, recovery may take some time. On the other hand, crypto experts believe that the SOL price can easily target $50 by the end of the month.
As of this writing, the so-called Ethereum Killer was able to rebound little by little despite the losses. Given the current momentum, there is a possibility for SOL to breach $40.
Social Engagement For SOL Up 192%
Analysts were able to pinpoint five key indicators that can help with Solana’s comeback which include a surge in trading volume seen in the last 24 hours and also a boost in social media sentiment or Google search volume for Solana.
SOL social media mentions are seen to rise by 64% and social engagement also spiked by 191.7% which indicates an increase in investor interest for Solana.
Currently, the technical analysis of SOL reveals a price increase and a positive market sentiment. Crypto analyst Azeez Mustafa looked at the SOL price charts and noticed that the coin’s bullish movement could skyrocket SOL prices from $70 to $80.
Similarly, @Pentosh1, a famous crypto analyst, believes that the SOL price can storm its way through $42 and can rally from $48 to $60.
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SOL total market cap at $14 billion on the daily chart | Source: TradingView.com Featured image from FX Empire, Chart from TradingView.com