Solana Community Braces For Losses as SOL Drops More Than $10. Time To Buy?

Solana has dived by 7.5% in the past 24 hours, sliding to $145.39 on a day when the cryptocurrency market weathers a 6.5% loss.

This drop means that SOL is still up by 2.5% in a week but down by 24% in the last 30 days, with the alt retaining a 615% increase in the past year.

This annual gain puts Solana in a good position to return to solid growth once the wider market regains momentum, with its network giving the coin some of the strongest fundamentals in crypto.

And given that it has now entered a severely oversold position, it could bounce back strongly quite soon.

Solana Community Braces For Losses as SOL Drops More Than $10. Time To Buy?

One thing encouraging about SOL’s chart is that it has bounced off the $144 support level (green), indicating that it see no further big drops before recovering.

Its others indicators suggest that it should rebound soon, with its relative strength index (purple) dropping almost to 20 in the early hours of the morning.

This means that SOL’s price is way too low in relation to recent levels, which in turn implies that buyers will not be able to resist the temptation to buy it at a discount.

Likewise, its 30-period moving average (orange) sank below its 200-period average (blue) earlier this morning, again signalling that a turnaround isn’t too far away.

One positive detail is that Solana’s trading volume is quite high today at $4 billion, providing confirmation that there are plenty of investors who are happy to snap up the alt at a lower price.

There’s also some positive fundamental news for Solana, with Robinhood Wallet adding support for the blockchain and its tokens yesterday.

This news provides further corroboration of Solana’s status as the biggest blockchain in the sector after Ethereum, with the past year seeing its network become the platform of choice for meme tokens.

It now processes somewhere in the region of 17 million transactions per day, in contrast to around 1 million per day for Ethereum.

While some of these are dropped transactions, the difference in number highlights Solana’s growth in recent months.

And when we factor in the likelihood that rate cuts could boost market positivity, the Solana price may be in for a strong recovery soon.

It could hit $175 by Q4, and then $200 by the New Year.

Newer Meme Tokens May Rise Higher

Now that Solana is still recovering from a big drop, some traders may prefer to diversify into smaller tokens, in order to boost their upside exposure during a lean period.

While many small-cap tokens are risky, one way of filtering out some of the lower quality examples is to look for successful presales, which show interest in a coin before it has even listed.

And one new token with growing interest is PlayDoge (PLAY), an Ethereum-based cryptocurrency that has raised $6.3 million in its sale.

Its sale will end tomorrow, giving latecomers only a limited window of opportunity in which to buy the coin early.

One of the reasons why PlayDoge’s sale has done so well is that the coin has much stronger fundamentals than the average meme coin.

It’s in the process of launching a Tamagotchi-inspired play-to-earn game, in which players can earn rewards (in PLAY) by breeding and completing missions with their own digital Shiba Inu pets.

The game comes with charming 8-bit graphics and compulsive side-scrolling gameplay, making it deeper and more varied than the original Tamagotchi.

Its native token PLAY will have a max supply of 9.4 billion tokens, with 50% of this going to staking and 12% going to the presale.

There is now roughly 24 hours before the sale ends, with investors able to participate by visiting the PlayDoge official website.

There they can buy PLAY at a cost of $0.00515 per token, a price that may end up seeming very cheap once the token lists tomorrow.

Visit PlayDoge Now

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