Solana price has been stuck in a narrow range after last week’s crash. The price has stabilized at about $55.62, which is about 56% above the lowest point last week. As a result, the SOL coin’s total market cap has dropped to about $19 billion, making it the eighth biggest digital coin in the world. SOL has erased its value by over 79% from its all-time high.
Solana is one of the most successful blockchain platforms in the world. This success is seen in the many platforms that currently use its technology. For example, it is the same technology that powers the popular Brave browser, which is used by more than 50 million every month. Additionally, the platform has been used to build StepN, the popular move-to-earn platform. Other popular applications built using Solana are Squads, Serum, Raydium, and Apricot Finance among others.
The Solana price has declined sharply in the past few months. The regular outages and the weak performance of its DeFi ecosystem have contributed to the coin’s weakness. For example, according to DeFi Llama, its DeFi total value locked has fallen by more than 30% in the past 30 days to the current $4.41 billion.
Solana price prediction
Turning to the daily chart, we see that the SOL price has been in a strong bearish trend in the past few days. The sell-off accelerated when the coin’s price declined below the important support level at $76. This was a notable level considering that the coin had struggled to move below the level in February and March of this year.
Solana has moved below the 25-day and 50-day moving averages. At the same time, it has formed an inverted cup and handle pattern that is shown in blue. It has also created a bearish pennant pattern. Therefore, while more gains are likely, there is a possibility that the coin’s price will continue falling as bears target the key support at $50. The alternative scenario is where the coin’s price retests the important resistance at $76.