Solana price could fall 40% to $80, says analyst

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As a seasoned crypto investor with a few years under my belt, I’ve seen my fair share of market ups and downs. The recent analysis by Andrew Kang, co-founder of a crypto-focused venture capital company, has caught my attention. His perspective on Solana (SOL) is particularly intriguing.

Solana could bleed down to an $80 price point as institutional ETFs and meme coin trading slow.

Andres Kang, a cryptocurrency authority and the co-founder of a venture capital firm specializing in crypto, recently expressed his viewpoint in a post that the anticipated market adjustments resulting from Exchange Traded Funds (ETFs) adoption could dampen Solana’s (SOL) bullish momentum.

Kang is convinced that Solana (SOL) has displayed impressive gains lately, but its progress might be influenced by the volatile whims of meme traders. Should the meme trading trend wane in the future, the value of SOL could potentially plummet down to the $80 mark.

Kang additionally pointed out that although meme traders may influence Solana’s price, the technology foundation and lasting promise of Solana are capable of bolstering its value in the long run.

ETF integration

Kang argued that the late inclusion of ETFs in wealth management systems might have a substantial influence on the cryptocurrency market. The majority of the anticipated ETF funds are now forecasted to arrive in the last quarter or towards the year’s end.

As a crypto investor, I recognize that the absence of significant ETF inflows might signal a shift in the cryptocurrency market’s momentum from upward to downward. Nevertheless, I remain optimistic about Bitcoin (BTC), believing it will keep its power and that prices are unlikely to dip below $50,000.

Ethereum’s expectations 

According to Kang’s prediction, Ethereum (ETH) may maintain its worth up until the expected ETF approval. However, any potential gains are anticipated to be capped around the lower end of $4,000 in 2022. In contrast, if there is insufficient investment or significant selling of ETH, the cryptocurrency could plummet to the $2,000 range (low to mid).

The Ethereum community is often seen as having strong advocacy and understanding, which may lead to high expectations for the impact of ETFs among investors who are not familiar with crypto. However, insights from traditional finance experts indicate relatively low interest in Ethereum ETFs.

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2024-06-20 17:52