Analyst Predicts 77% Price Crash for Solana to $40
A crypto analyst predicts a price crash for Solana, despite current bullish momentum. This forecast comes from AlanSantana, a trader on TradingView, who notes that Solana's trading volume has decreased significantly from September to October 2024, indicating a potential bearish trend.
Analyst Predicts Massive Crash For Solana
AlanSantana observed a notable decline in Solana's trading volume during this period, which typically signals reduced demand and may precede a downward price movement. In contrast, last year's trading activity showed an increase in volume from September to November 2023, contributing to a bullish rally that lasted into early 2024.
The current decrease in volume suggests a higher likelihood of Solana trending bearish, with the analyst predicting a potential drop below the $50 mark. Such a decline would negate gains made over the past year, reverting the cryptocurrency to its November 2023 price range.
SOL Whales Continue With Activity
Despite the noted decline in trading volume, Solana remains predominantly bullish. On-chain tracking firm Lookonchain reports increased trading activity among crypto whales in the past week.
Lookonchain highlighted significant withdrawals of SOL tokens from exchanges for staking. The largest transaction involved the address "AA21…VxH9," which moved 153,511 SOL tokens valued at approximately $26.4 million from Binance. Another whale, identified as "EHax…gAUa," withdrew 35,498 SOL tokens worth $6.12 million from Binance and Kraken, also for staking. Additionally, whale address "EGzi…mR7g" acquired 13,000 SOL tokens valued at $2.3 million.
Another whale sold 26,726 SOL worth $3.86 million but still holds 42,729 SOL valued at $7.61 million. Currently, Solana is trading at $178, reflecting an 8% increase over the past week. While accumulation suggests bullish momentum, the possibility of a crash towards $40 appears unlikely at this time.
