Solana's price has dropped significantly this week, causing concern among investors. Amid issues with meme coins in its ecosystem, the SOL token fell to $160 and is about to form the risky 'death cross' pattern.
Solana Price Forecast
Solana, one of the major players in the crypto industry, has entered a bear market, plummeting from nearly $300 to $160. The formation of a 'death cross' pattern, which occurs when the 200-day and 50-day moving averages flip, indicates potential further decline. Additionally, Solana formed a 'double-top' chart pattern at $264, with the neckline at $170, which is considered highly bearish in technical analysis. The price also moved below the Ichimoku cloud indicator and a crucial ascending trendline, suggesting potential further drops to $110. Conversely, if the price moves above the resistance level at $203, this bearish outlook will be invalidated.
Why SOL Price is Falling
There are two main reasons for Solana's price crash. Firstly, the decline happened due to the ongoing plunge of other cryptocurrencies. Bitcoin dropped from $109,300 to $95,000, with most tokens like Cardano and Tron in a bear market. Secondly, Solana has been affected by the prevalence of meme coins in its ecosystem, leading to significant losses for many participants and raising concerns about the blockchain's credibility. This situation has also caused a sharp plunge in the trading volume handled by its decentralized exchange protocols.
Experts Turn to Minotaurus
Amid Solana's ongoing issues, crypto experts are turning to Minotaurus, a newcomer in the gaming industry. Minotaurus developers are working on a game set to be available on Android and iOS, expected to attract millions of users. The project has already surpassed the 1.75 million USDT mark in presale token sales, indicating increasing interest due to its potential.
Recent events in the Solana market indicate rising instability in the crypto industry. Despite the negative outlook, investors are shifting their attention to emerging projects like Minotaurus, which aim to draw interest with their promising profitability.
