Solana (SOL) fell to its lowest level since February 2021 last week, but after nine days of continuous declines, SOL price has now recovered from below $8 to above $14 on January 4. Increased interest from Solana community members in Bonk (BONK), a new meme token that released around 50% of its 56 billion token supply to users last week, and from cryptocurrency traders and investors who are now monitoring SOL to see where it is. I will trade next month. Specifically, machine learning algorithms on the crypto tracking platform Price Predictions predicted that the price of SOL would be $13.73 on January 31, 2023, based on data retrieved.
The AI algorithm forecasts a 2% increase from the price of Solana at press time using technical analysis (TA) indicators such as the relative strength index (RSI), Bollinger bands (BB), moving averages (MA), moving average convergence divergence (MACD), and others.
Solana is trading at $3.51, a 13.83% increase in the last 24 hours, and is up 34.66% in the last week, with a total market capitalization of $4.96 billion.
The recent inflow into Solana will be welcomed by its community of investors, who have recently witnessed extreme volatility in its price for a variety of reasons, including the fact that one of its most prominent supporters is the now-disgraced former CEO of FTX, Sam Bankman-Fried, and leading non-fungible token (NFT) companies abandoning its blockchain.
SOL technical analysis
Looking at TradingView technical analysis (TA) indicators on 1-day timeframes, the indicators are mostly bullish. The indicator summary agrees with a “buy” sentiment at 11, while the moving averages suggest a “buy” at 9. Finally, the indicators for oscillators at 8 stand for “neutral” If Bonk picks up steam, it can experience the same fate as other memes- or dog-oriented crypto tokens, often a pump followed by a severe crash and, then very little to no bounce. However, it helped the Solana ecosystem gain a foothold when many crypto players saw it drop as low as $5.
Despite all the fanfare surrounding the dog coin, Solana’s future still needs to be determined, even though the cryptocurrency has improved. Since the beginning of November, Solana has grown from the 5th largest token to the 15th largest token and is now the hottest cryptocurrency on CoinMarketCap.