Solana has been moving sideways for the last seven months. This ongoing consolidation signals potential weakness among SOL buyers and raises concerns of a renewed correction. Could the expected decline cause Solana price to drop to $50?
Will Solana (SOL) Become 50 Dollars?
At the time of writing, the SOL price was at the level of 160 dollars and increased by 2.84% on a daily basis. Keeping its current position intact, Solana’s decline to $50 would mean a decline of approximately 70% from the current price.
If the circulating supply remains the same, this price correction could reduce Solana’s market cap to $23.6 billion and cause it to lose its place among the top 10 cryptocurrencies.
Solana network provides Ethereum with higher transaction volume and lower costs compared to other cryptocurrencies 
$2,647It has proven to be a serious rival to . After the FTX crash, some analysts think SOL is undervalued and in a better position for recovery.
Solana price prediction on the daily chart shows the consolidation over the last seven months as a bullish flag formation. This pattern suggests that a decisive rise is followed by a temporary bullish consolidation and will continue after a decisive breakout.
Solana Fall Risk
According to DeFiLlama data, SOL’s total volume locked (TVL) has increased by 56%, from $3.8 billion to $5.95 billion in the last 11 weeks. Increasing TVL indicates that investors’ trust in the network is growing and they are transferring more capital.
Additionally, Intotheblock data reveals that the number of addresses on the Solana blockchain increased from 3 million to 4.89 million, an increase of 63% in two weeks. This rapid increase indicates that adoption and activity on the network are increasing, and user interest and participation are strong. If the $188 level can be surpassed, the target will be $210, but if BTC falls sharply from its local peak as many analysts expect, then new lows between $98 and $50 are not impossible. But the second possibility could be triggered by a huge negativity for Solana. Maybe after the US election results, Kamala will make such statements that she will even leave Biden behind in exchange for crypto?
Its solid ecosystem and market performance suggest that Solana has a strong future promise and more upside potential rather than a sharp correction.
- Solana has been trading in a sideways trend for 7 months.
- If the price falls to $50, the market value could drop to $23.6 billion. However, this probability is very low.
- Increasing TVL and number of users make price reduction difficult.
Disclaimer: The information contained in this article does not constitute investment advice. Investors should be aware that crypto currencies carry high volatility and therefore risk, and should carry out their transactions in line with their own research.
