Crypto analyst Benjamin Cowen, closely followed by investors, warned that Solana (SOL), one of the leading altcoins, could face a significant decline similar to what Cardano (ADA) experienced in 2019. Here is the analyst’s alarming prediction for SOL.
Solana Will Do What Cardano Did in 2019, According to the Analyst
Renowned crypto analyst Benjamin Cowen stated that Solana has shown slightly more strength compared to other altcoins due to the heavy capitulation at the end of 2022. The analyst pointed out that SOL hit rock bottom at the beginning of this year, then reached its highest level in months, and then experienced a decline after sweeping its recent peak, comparing this price movement to Cardano’s (ADA) movement in 2019:
Solana’s ability to recover after sweeping its recent bottom is a matter of curiosity. If it goes below the trend line at around $16.5, which I’m not sure if it will happen, it could experience a pullback to around $11.
Now this can be considered as a significantly downward price movement, but I remember that Cardano’s ADA did exactly the same thing in 2019. It basically capitulated with this price movement and then rose. Then it reached a local peak and started to decline. Then guess what happened? It recovered by sweeping the bottoms.
Cardano could only start the recovery process in the long term after seeing the lowest levels. So I still think that many altcoins may experience pullbacks and sweep some bottom levels, maybe even go lower than these bottom levels. This could happen even before the eagerly anticipated Bitcoin block reward halving.
The Current Situation in Solana
According to CoinMarketCap data at the time of writing this article, SOL is trading at $24.62 with a 6.37% increase in the last 24 hours. It is worth noting that SOL has increased by 4.56% in the last 7 days and 14.09% in the last 30 days.
With a market capitalization of $9.98 billion, SOL ranks 8th on the list of the largest altcoins and is priced 90.53% below its record of $260.06.
