Solana Blockchain SOL Token Doubles From FTX-Crash-Induced Lows, but Will It Continue to Rebound?

SOL, the native currency of the Solana blockchain, has doubled its price since mid-December to hover around $21, reaching as high as $24 earlier this week, roughly where it stood before investors started fretting over its entanglement to beleaguered crypto exchange FTX and its sister company Alameda Research. Solana's blockchain sol dual token ftx-crash-induced lows, but is it going to continue to bounce back? One of the hardest hit chips of 2022 was an optimistic story this year.sol, Solana blockchain's native currency, doubled its price since the middle of December to oscillate around $21, up to $24 a week ago, about where he was before investors began to worry about his besieged crypto exchange ftx entanglement and his alameda-seeking sister company.

The surge started after a favorable tweet by Ethereum co-founder Vitalik Buterin, who expressed “hope” that the Solana community “gets its fair chance to thrive” in a tweet, shortly after SOL had plunged to a record low of $8.19. The push began following a favorable tweet by ethereum co-founder vitalik buterin, which expressed "hope" that the solana community "gets its just chance to prosper" in a tweet, shortly after the ground fell to an all-time high of $8.19.

According to data from DefiLlama, the total value locked (TVL) on the Solana chain dropped 96% in 2022, from $6.68 billion in January to $206 million at the end of December.

Based on defillama readings, the total value of the solana channel locked (tvl) dropped by 96% in 2022, between $6.68 billion in January and $206 million in late December.

The recovery of soil prices has given rise to new hope for the long-term future of the blockchain among crypto analysts and blockchain developers and executives. Detractors accused Solana of being too centralized and controlling venture capital.

But Riyadh Carey, research analyst at crypto data company Kaiko, said "with Alameda gone, the protocol is somehow free from this baggage and may become more community-centric." It's Riyadh Carey, Kaiko's research analyst, "with Alameda gone away, The protocol is somewhat devoid of that baggage and can become more community-based." I think Solana is really strong," Carey told Coindesk. Is it going to be one of the first three or five DTV channels in a year?

Detaching from “Sam’s coin”

And Messari Senior Research Analyst Tom Dunleavy wrote in a recent research note that Solana’s on-chain performance has been strong with daily active wallets interacting on major Solana protocols remaining constant post-FTX and transaction volumes and active accounts rebounding back to pre-FTX levels.

I’m really not sure but it certainly has potential.”I'm not sure about that, but there's definitely potential."

'Whether that new volume level is sticky is definitely an open question; however, at a minimum, a coherent volume level with ftx leaving the ecosystem is a positive sign,' he wrote.

Repetny attributed Solana’s recent trading volume surge to growing interest in Solana-based meme coin BONK.

“Bonk is like an entry point to the Solana ecosystem, just like people come to non-fungible tokens (NFTs) for gaming,” he told CoinDesk in an interview, adding: “With trust and faith in the Solana community, this goes beyond Sam’s coin.”

Rebound to $50

Stefan Rust, CEO of blockchain technology firm Laguna Labs, said Solana has “held the ground solidly” by staying within the top 20 cryptocurrencies by market capitalization post-FTX, while hitting the metrics developers seek, including a project's "distribution," "difficulty in using toolsets," "marketing and visibility" and "money." Bonk is like an access to the ecosystem of Solana, just as people come at non-transferable chips (NFTs) for the game," he told CoinDesk in an interview, "With confidence and faith in the community of Solana, It's beyond Sam's coin." Bounce back at $50Stefan Rust, Chairman and Chief Executive Officer of blockchain technology company Laguna Labs, said Solana "held the ground steady" by remaining in the top 20 cryptocurrencies per post-FTX market cap, while typing in parameters that developers are looking for, including ‘distribution' of a project, ‘difficulty with tools', ‘marketing and visibility', and money.

'Bonk is a sort of access point to the solana ecosystem, just as people come up with nonfungible chips (nfts) for the game," he said coindesk in an interview, with the addition: "with confidence and faith in the Solana community, It goes beyond Sam's coin." Bounce to $50 rust stefan, Chairman and Chief Executive Officer of Laguna Labs Blockchain Technology Company, said solana "stood firm" by remaining in the top 20 cryptocurrencies by post-ftx market capitalisation, while typing in parameters that developers are looking for, including a project's "distribution," "difficulty in using toolsets," "marketing and visibility" and "money." he expects sol's price to rebound to $30 and even possibly $50 by the end of the year. Brendon sedo, a contributor to the blockchain core dao layer, compared the current status quo of Solana to the fall of Ethereum in 2018 and expects it will rebound in the same way, in spite of the growing competition of the aptos and sui rivals.

I think that will probably be Solana's way out, what Ethereum ended up doing after the gloomy days of the bearish market of 2018," he said.