Solana Price Prediction as Sam Bankman-Fried Enters FBI Custody – Has SOL Bottomed Out?
The Solana price remains flat in the past 24 hours at $12.09, following the news that former FTX CEO Sam Bankman-Fried has entered FBI custody and is being extradited to the United States. It’s also down by 14% in a week and by 67% since the November collapse of FTX, which had been a big supporter of Solana and its ecosystem.
Indeed, the exchange’s collapse ultimately wiped hundreds of millions from the value of Solana’s DeFi ecosystem, with the Solana Foundation itself having around $200 million in cryptocurrencies on the exchange when it collapsed. And with the wider market remaining largely subdued, there’s little prospect of SOL enjoying a significant price rally in the coming weeks, even if it has likely bottomed.
Solana Price Prediction as Sam Bankman-Fried Enters FBI Custody – Has SOL Bottomed Out?
Based on SOL’s chart, the altcoin bottomed out in early November, when FTX collapsed. However, it seems that its descent hasn’t quite finished yet and that it may not rise up again just yet.
For example, SOL’s relative strength index (purple) sank to 25 in November, yet has wavered between 30 and 40 pretty much ever since. Likewise, its 30-day moving average (red) continues to slide further below its longer-term 200-day average (blue), signaling that it hasn’t turned a corner just yet and may continue falling in the short term.
As stated above, SOL’s declines over the past month and a half have resulted almost exclusively from the collapse of FTX. This is because the exchange held significant importance for Solana, with parent company Alameda Research leading a £314.2 million funding round in developer Solana Labs last year.
Not only that, but Sam Bankman-Fried had a major hand in building the DEX Serum on the Solana blockchain, an exchange that effectively collapsed following FTX’s bankruptcy (since its private keys were stored by FTX personnel). This collapse severely dented Solana’s total value locked in, while Raydium – another Solana-based DEX that benefited from Serum’s problems – was hacked this month.
https://www.twitter.com/projectserum/status/1597463150567514112All of this has taken a big toll on Solana’s ecosystem and SOL’s price. However, it’s arguable that things can’t really get any worse for either, and that the Solana price may begin its recovery, assuming more bullish market-wide conditions in 2023.
There was talk of developers leaving Solana following the FTX collapse, something which would have seriously dented its prospects for recovery and rebuilding. That said, recent data has shown that development activity remains fairly stable, even now.
For those of you that don't want to read:
— T H° 🧊 (@T_H_Crypto) December 20, 2022
"Github repos & the number of daily unique programs are up ~2.5x despite a 95% decline in SOL over the same time period."
That is quite literally insane!
I would not want to be fading @solana. pic.twitter.com/GA7ic17gQI
Much the same applies to its network health, with a recent analysis by Messari showing that such key aspects of its network (e.g. validators and developers) have held almost constant, despite the FTX bankruptcy.
Was @solana's success dependent on @FTX_Official?
— Messari (@MessariCrypto) December 15, 2022
+Validator distro and Nakamoto coefficient remain resilient
+Devs continue to deploy
+DeFi projects continue to build despite hit to TVL and $SOL price
+TIPIN (@helium, @Hivemapper, @PollenMobile)
Full ecosystem overview ⬇️ https://t.co/rEq7C6vvGO
As such, there’s every reason to think Solana can recover in the long term, as suggested by its recent NFT activity, which again shows no serious or irreversible decline.
Average #SolanaNFTs mints per address increasing
— PEDR◎ 🇧🇷 (@voteforpedrito) December 21, 2022
More @Solana power users are emerging pic.twitter.com/AZ2JGD7jbB
Other Altcoins
While this may come as good news for SOL holders, they may need to wait more than a few months for the altcoin to enjoy a substantial recovery rally. As such, more impatient traders may prefer to look elsewhere for quicker gains, and one of the most promising areas for such gains is presales.
Presales have had a very good 2022, despite the bear market. For example, Tamadoge (TAMA) rose by as much as 1,800% after listing on OKX in October, while Lucky Block (LBLOCK) and Battle Infinity (IBAT) witnessed increases as high as 6,000% and 3000% this year compared to initial presale prices of $0.00015.
This shows how, given the right fundamentals, a new altcoin can rally big once its presale has ended and it lists on exchanges. Accordingly, here are three of the newest altcoins that promise to do something similar when they list in the New Year.
FightOut (FGHT)
An Ethereum-based platform, FightOut (FGHT) is a move-to-earn app that will reward users for engaging in a wide variety of workouts, including boxing, weightlifting and yoga. When it launches in Q2 2023 it will also offer a range of in-app and IRL courses, with plans to launch up to 20 of its own branded gyms (in addition to affiliating with numerous pre-existing facilities).
Launched last week, its token sale has already raised over $2.2 million, with $1 currently buying you 60.06 FGHT tokens.
Visit FightOut Now
Dash 2 Trade (D2T)
Also running on Ethereum, Dash 2 Trade is a trading intelligence platform that will provide real-time analytics and social trading data when it launches in the first quarter of next year. Some of its features will include trading signals, on-chain analytics, strategy-building tools, and newsfeeds, all of which will help beginner and experienced traders stay ahead of the unpredictable cryptocurrency market.
The sale of its D2T token has raised over $10.4 million and is now in its final stage (and is due to end in 15 days). It has also announced listings on BitMart, Changelly Pro and LBANK Exchange for early 2023, with the first coming as soon as January 11.
C+Charge (CCHG)
Coming at perhaps the right time in history, C+Charge (CCHG) is a peer-to-peer payment system for electric vehicle (EV) charging stations. Based on Binance Chain, its aim is to widen access to carbon credits, with which it will reward users for charging their EVs at its terminals.
As a sign of how quickly it could grow, the platform has already signed a deal with Perfect Solutions Turkey, adding 20% of the EV chargers in Turkey to its network. 1 CCHG currently costs $0.013, and can be bought using either BNB or USDT.
