The real unknown on the market is Solana: what do we know about the basics.
Regardless of the movements of the last few hours, which only partially reversed the incredible gains recorded in the last week and last month, Saltworks it is still perhaps the strongest coin in the entire crypto scenario. He is among the few who hit $BTC 2023, despite what many consider to be a lack of grounds for holding such a race.
After that, we will have to make new assessments We already issued a warning yesterday about the situation at the front. Overall, there is good news for Saltworks and perhaps less good news.
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Solana: End of the race? Basics of the project
Let’s put aside for a moment the amazing race he saw Saltworks to become the queen of the entire sector altcoins and the crypto market in general. Let’s put this situation aside, for example, because it won’t be useful for this analysis. What is really going on in Solana’s world? And why is it still perhaps the most attractive ecosystem for many investors?
- Fact: Solana capital is growing, at least in terms of funds
The fact is that we have already explained it to you in advance compared to other publications. Solana, through European ETFs, but not only, continues to attract capital. This is a flow that has actually been consistent throughout 2023 and which we believe, especially in the context of the sector’s poor liquidity that has plagued it for months, is a very important driver of price growth. However, this is not the only factor we have to deal with.
Transfers of wallets which, according to the main analysis software, are managed by FTX continue. These are outgoing transfers of $SOL, a sign that we are continuing with the liquidation, albeit limited and in any case in accordance with what the court determined. There are no big news on this front either, which worries many. And no, it is not reasonable to think that there is sell everything contrary to what the court found.
Another factor “FTX” also prevails and will prevail even though we believe it is completely incorrect. The exchange, which was once very close to the project, appears to be in better shape than previously estimated, so much so that it has attracted bids from those who would like to restart it. However, be careful when making decisions based on this story. In reality, we fear that nothing will be done and more concrete steps will definitely be needed to be sure. Restarting the exchange would avoid token sales assignment of rights which have not yet been assigned? Could be.
Defillama data also helps us understand how Solana’s TVL, ie volume, is moving value which is on the network itself. Although growth is visible since October, we are still very far from the glory of the last bull run.
Two different considerations can start from here: the most pessimistic is that Solana has difficulty returning to certain levels. The most optimistic is that there is still a lot of room for growth. TVL lags behind the growth of, for example, Ethereum, which, however, can count on an important boost Chain. And it is fundamentally aligned, for example, with the BSC. Drawing conclusions will not be easy – and we reserve the right to do so in the next and deeper analysis dedicated to the topic of TVLs.