Analysts are in deep discussion regarding the way forward for Solana post the crypto crash in November.
Solana’s SOL token has been one of the worst affected in the week ending November 13, 2022. Following the crisis at FTX, crypto markets plunged to record lows in 2022, with almost all altcoins in red. SOL settled at around $16 but registered a 50% drop in the second week of November.
This has sent the crypto community abuzz with discussions and opinions on the long-term viability of the token. Analysts are also apprehensive of the volatility witnessed by the token amidst the unpredictability in the markets. Being the second largest holding of Alameda Research, founded by Sam Bankman-Fried, SOL had found itself amidst rumors of the firm dumping the tokens. As a result, the token rallied downwards before a slight uptrend when Solana Foundation issued a statement postponing a plan to ‘unstake’ 28.5 million tokens.
A few experts, though, are optimistic about the Solana blockchain. Alex Tapscott, Managing Director at Ninepoint Partners believes so since Solana has been driven almost entirely by organic growth whereas other projects were heavily backed by venture capitalists. Meanwhile, a spokesperson of Solana had this to say regarding recent occurrences: ” The events of this week are unfortunate and will likely impact certain projects more than others, but the overall Solana ecosystem of thousands of developers is robust and diversified, and ecosystem projects continue to reiterate support for Solana and their commitment to building on Solana.”