Solana (SOL) took a significant hit from the collapse of the FTX cryptocurrency exchange, given the digital asset’s close ties to the trading platform, as well as being affected by the overall market bearish trend. Indeed, SOL has gained support from Sam Bankman-Fried (SBF) and the decentralized finance (DeFi) token has suffered heavy selling pressure, with scam allegations tagged against the FTX founder.
The algorithm determines the Solana (SOL) price for January 1, 2023!
As the year ends for Solana without a major rally trigger on the horizon, the focus has shifted to how SOL will launch into 2023 at a point where the network is recording increased development activity.
Accordingly, machine learning-based algorithms at PricePredictions, which take into account metrics such as the moving average (MA), relative strength index (RSI), moving average convergence divergence (MACD), and Bollinger Bands (BB), among others, ensure that SOL is ahead of 2023. The first day is in line with resuming a consolidation momentum.
According to the forecast, Solana will be traded at $11.76 on January 1, 2023. The price represents a minimal move from the token’s value of $11.91 at the time of issue. It is estimated that Solana will extend the sales it experienced in December by a correction of approximately 13%.
Solana 30-day price forecast. Source: Price Estimates
Interestingly, as reported by Finbold, the crypto community at CoinMarketCap had predicted that Solana would launch in 2023 on a bullish note. Specifically, the votes of 1,118 community members predicted that SOL would likely trade at an average of $28.85 on December 31.
Solana price analysis
At the time of writing, Solana was trading at $11.91 with daily corrections of around 1.60%, while on the weekly chart, SOL was dominated by the downtrend that lost its valuation by over 11%.
Solana seven-day price chart. Source: Finbold
Overall, Solana has gained a lot of negative momentum in recent weeks. Indeed, after the bears took over the asset, the SOL broke below the critical $12.00 level, which is currently acting as a resistance position. However, the bulls need to find their footing and stabilize the price to avoid further corrections.
What’s next for Solana?
The Solana community will rely on the ongoing improvements of the network to compete with platforms like Ethereum (ETH) to trigger a possible rally. However, currently network development has minimal impact on the asset and SOL’s movement is largely leaning towards overall market trends.
At the same time, the impact of development activities continues to be threatened by significant network outages. Meanwhile, the community will eagerly follow the proceedings of the SBF case, considering the close ties between the two sides.
Disclaimer: The content on this site should not be considered as investment advice. Investment is speculative. When investing, your capital is at risk.