Solana took one other sharp fall as we speak, sinking under $10 for the primary time since February 2021.
Bulls stepped in at $9.66 within the early hours of Dec. 28 (GMT), resulting in a restoration that topped out at $10.20. As of press time, SOL was hovering near the psychological $10 stage as soon as extra, at $10.02 after dipping under $10 for a second time hours earlier than.
For the reason that FTX collapse, Solana has been below stress as a result of venture’s shut ties with the disgraced change.
Nonetheless, hardcore believers proceed to be optimistic within the face of adversity. For instance, @LitecoinYagami tweeted:
“Solana can have the best comeback story in crypto historical past. I can see it already. Keep robust.”
Nonetheless, others are extra bearish in regards to the venture’s prospects, together with @IvanOnTech, who identified SOL’s market cap slid to seventeenth in current weeks — under TRON and Shiba Inu. Whereas additionally mentioning the developer exodus as an indication of worse to come back.
“Solana is now under Tron and even SHIB
Sadly, I feel that is EOS 2.0
Devs don’t wish to construct on a dying infrastructure, Solana initiatives probably migrate to EVM L2s.”
Solana below stress
During the last 24 hours, Solana dropped as a lot as 13%. The autumn comes amid wider market sell-offs, with solely LUNC, LDO, and XCN all the way down to a better extent in proportion phrases.
2022 has been a tumultuous 12 months for crypto costs, however Solana, being closely backed by former FTX CEO Sam Bankman-Fried, has suffered worse than others.
Yr-to-date, SOL has misplaced 94% of its worth. Equally, the token is down 96% from its ATH of $259.96, achieved on Nov. 6, 2021.
Tumbling token value and builders and initiatives leaping ship level to a disaster of confidence within the venture’s capacity to get better from the FTX fallout.
Nonetheless, @IvanOnTech tempered his earlier remark by saying this is a chance for Solana to rise to the problem. He added that with “sufficient will and work,” Solana can flip the state of affairs round to “dominate the subsequent bull market in opposition to the percentages.”
Are builders leaving in droves?
On Dec. 16, CryptoSlate reported that knowledge from the Token Terminal aggregator confirmed a 90% decline in Solana devs.
In line with the info, a peak of roughly 2,500 devs was reached round January 2022. This has since fallen to only 75 at current.
Critics blasted the info, with some saying the numbers don’t tie up with anecdotal accounts. Equally, Solana mentioned as of November, “1000’s of devs” had been engaged on the chain.