The digital currency realm has kickstarted the week on a high note, showcasing an uptick of approximately 2.5%. After navigating through a week of downturns, it appears that stability is returning to cryptocurrencies, hinting at Bitcoin and its peers potentially concluding the month with an upward swing.
Solana was in the same list of tokens that saw an increase in value but unlike the rest, the coin is also seeing some use cases added to its ecosystem. With this in mind, we are on a quest to figure if SOL is the ‘buy the dip’ token and whether its price is set to on a path to the land of high peaks.
SOL Price Movement
Last month wrapped up favorably for Solana, registering an impressive 15% upsurge in its value during September’s concluding week. This ascent persisted into early October, but subsequently, Solana’s pricing trajectory seemed to pivot, with indications of it moving within a downward trajectory.
When it comes to major exchanges like Gate.io, the SOL price lingered near its pivotal support threshold of $21.15. This was soon followed by an upward push, driving the price above this mark. A significant impetus to this was the recent revelation of the FTX estate staking a whopping 5.5 million Solana tokens, propelling it past its resistance marker.
Presently, Solana’s value oscillates between its resistance bracket and its current trajectory, poised to challenge the $23.20 mark, a move with unpredictable outcomes.
The RSI (Relative Strength Index) highlights this dramatic price fluctuation, transitioning from an oversold to overbought zone in a mere four-day span. The recent surpassing of the RSI’s upper boundary underscores Solana’s intense price activity.
Solana’s Future Price: What’s the Forecast?
Should the upward momentum prevail, pushing Solana beyond the $23.20 resistance, the coin is poised for a bullish surge, potentially targeting the $24.22 mark.
If this price level holds steady, we could witness Solana aiming for the $26 resistance mark in the near future.
Conversely, should the downward pressure dominate, prices might retreat to the previous downward pattern. This could lead Solana to operate under bearish influences, potentially moving to touch the $22.43 support mark soon. If this level isn’t maintained, a dip to the $21.15 support level might be on the horizon. At the same time, SOL price prediction for end of 2023 suggests that the token should still see exponential growth and levels above $26.
The Growth of SOL Price Trough Partnerships
In parallel news, Solana Foundation has forged a partnership with the esteemed Dubai Multi Commodities Centre (DMCC), a key economic free zone in the UAE. As per the Oct. 15 bulletin, Solana, leveraging its blockchain prowess, will extend technical and entrepreneurial assistance to members of the DMCC Crypto Centre. The collaboration will also feature Solana conducting informational sessions on diverse Web3 subjects, while amplifying its existing grant initiatives at DMCC.
DMCC’s CEO, Ahmed Bin Sulayem, elaborated on the perks for Solana’s collaborators: “Solana’s partners can anticipate exclusive conveniences at DMCC, inclusive of complimentary business infrastructures and licenses. They’ll also gain access to Solana’s top-tier blockchain tech and specialized engineering squads, primed to elevate their ventures.”
DMCC’s collaboration roster boasts crypto trading platforms, digital asset trendsetter DWF Labs, Web3 nursery TDeFi, and investment powerhouse Brinc, among others. The center claims a robust membership of approximately 23,000 entities.
Complementing the Dubai Silicon Oasis Authority and Abu Dhabi Global Market, DMCC stands as one of the trio of pioneering economic free zones in the UAE, devised to enhance its investment ambiance. This triad will soon be joined by the Ras Al Khaimah Digital Assets Oasis, revealed at the 2023 Blockchain Life event.
By the end of September 2023, global rankings placed Solana in the 10th position concerning total value locked, approximated at a substantial $359 million.
Solana’s native token, SOL, plays a multifaceted role within its ecosystem. Beyond its basic function as a cryptocurrency that can be traded, SOL is pivotal for staking and securing the network. Validators, who help maintain the network’s integrity and process transactions, are required to stake SOL as a show of commitment and to ensure good behavior within the system.
Additionally, SOL is used to pay for transaction fees, offering a scalable and efficient mechanism given Solana’s high throughput capabilities. As decentralized applications (dApps) and projects continue to grow on Solana’s platform, SOL also becomes the primary token for various interactions, from participating in decentralized finance (DeFi) activities to acquiring digital assets on the platform.