Key takeaways
- SOL has decreased by 10% as the overall crypto market undergoes another significant sell-off.
- This downward trend occurs despite Sharp Technology securing $400 million for its Solana treasury.
SOL ranks lowest among the top 10
SOL, the official cryptocurrency of the Solana blockchain, is currently the poorest performer within the top 10 cryptocurrencies by market capitalization. The coin has lost 10% of its value over the last 24 hours, trading now at $187 per coin.
This poor performance is part of a larger trend, with the crypto market facing another sell-off; BTC has fallen below $110k, while Ether has dropped into the $4,400 range.
The decline in SOL’s value comes even after Nasdaq-listed Sharps Technology (STSS) raised $400 million to potentially create the largest corporate digital asset treasury for Solana.
Major investors in digital assets, such as ParaFi, Pantera, FalconX, CoinFund, and Arrington Capital, backed this funding. The firm sold shares at $6.50 each, with warrants exercisable at $9.75. Sharps Technology intends to primarily use the funds to acquire SOL, the native token of the Solana blockchain.
Sharps Technology isn’t alone in accumulating SOL, with other entities like SOL Strategies (HODL), DeFi Development (DFDV), and Upexi (UPXI) also significantly involved.
SOL may recover to $200 amidst market rebound
The 4-hour chart for SOL/USD shows a bearish trend due to Solana’s recent struggles. Technical indicators are presently neutral but may shift favorably if either bulls or bears dominate the market.
An RSI of 54 indicates that buyers are losing ground, whereas the MACD lines risk slipping into bearish territory if the sell-off continues. As of now, SOL is trading at $188 per coin, recovering slightly from a recent low of $185.
Should the recovery persist, SOL might retake the resistance level at $213 in the coming hours or days. A sustained bullish momentum could push SOL to challenge the $220 resistance area.
Nevertheless, the market remains bearish, and SOL may encounter additional losses. If that occurs, SOL could fall to the support level at $174 established on August 19. A failure to maintain this support could result in SOL hitting a monthly low of $152.
