Insightful Word
  • Investing
  • Stock
  • Economy
  • Politics
  • Investing
  • Stock
  • Economy
  • Politics
No Result
View All Result
Insightful Word
No Result
View All Result
Home Investing

Solana price drops below realized value first time since 2022

admin by admin
March 11, 2025
in Investing
0
Solana price drops below realized value first time since 2022
0
SHARES
8
VIEWS
Share on FacebookShare on Twitter

Solana (SOL), once ranked as the third-largest cryptocurrency by market capitalization after Bitcoin and Ethereum, has dipped below its realized price level for the first time in nearly three years.

On March 11, SOL fell to approximately 8% below its realized price of $134, a level last seen on March 9.

This marks a significant shift for the token, which has experienced both sharp rallies and declines in recent years.

Source: CoinMarketCap

The realized price represents the average price at which tokens were last moved or purchased.

When an asset falls below this threshold, it indicates that a substantial portion of holders are now at a loss, having bought their tokens at higher prices.

The last time Solana faced a similar drop below its realized price was in March 2022, when it entered a prolonged downtrend before recovering in November 2023.

While brief dips have occurred in the past, such as the sub-$2 drop in November 2020, the current decline is unfolding amid broader market weakness.

Solana’s decline and market selloff

Solana’s price downturn is not occurring in isolation.

The broader crypto market is experiencing a widespread selloff, contributing to downward pressure on SOL.

Data from blockchain analytics firm Glassnode shows that the price has been moving in tandem with declining sentiment across the industry.

glassnode

@glassnode

·Follow

#Solana just plunged below its Realized Price for the first time in nearly 3 years. Currently, $SOL price is $124 – about 8% below the realized price of $134: glassno.de/4hmT36H

2:06 PM · Mar 11, 2025

111

Reply

Read 21 replies

Another major factor behind Solana’s struggles is a sharp decline in network revenue.

According to DefiLlama, daily fee revenue on the Solana blockchain has plunged to approximately $420,000, marking a 90% decline from its January peak, when SOL was trading at $250.

This drop in revenue coincides with a slowdown in memecoin activity, which had driven significant trading volume earlier in the year.

A decline in transaction fees suggests reduced network demand, which could further weigh on the price of SOL.

Historical trends raise uncertainty

Solana’s price history suggests that a dip below the realized price level does not always lead to a prolonged downtrend.

However, past instances of SOL falling below this threshold have been met with multi-week declines before recovery.

The last major drop occurred in early 2022, followed by a prolonged bearish phase before SOL climbed back above the realized price in late 2023.

Market participants remain uncertain about whether this trend will repeat itself.

Unlike previous instances, SOL’s current downturn aligns with broader market weakness and declining fee revenue, creating a more challenging environment for recovery.

Despite this, the crypto market has historically been volatile, with sharp rebounds often following periods of downturns.

Bullish and bearish scenarios

Looking ahead, analysts remain divided on Solana’s long-term trajectory.

In October 2023, asset management firm VanEck released a valuation model predicting that SOL could experience a 10,000% increase in value by 2030, assuming the blockchain reaches 100 million users.

Under this optimistic scenario, Solana’s price could surpass $3,200 by the end of the decade.

However, the same report also outlined a bearish case, in which SOL could trade as low as $9.81 if adoption stagnates and competition intensifies.

The current decline below its realized price may indicate growing bearish sentiment, but the longer-term outlook will depend on factors such as network adoption, technological advancements, and macroeconomic conditions.

Solana’s performance in the coming weeks will be closely watched by traders and investors to determine whether it can reclaim higher levels or if further declines are on the horizon.

As of now, the token faces mounting pressure from both internal and external market forces, making its next move highly uncertain.

The post Solana price drops below realized value first time since 2022 appeared first on Invezz

Previous Post

SoFi stock: why investors should buy despite economic uncertainty from tariffs

Next Post

How billionaire Caltagirone could influence Italy’s banking M&A wave

admin

admin

Next Post
How billionaire Caltagirone could influence Italy’s banking M&A wave

How billionaire Caltagirone could influence Italy’s banking M&A wave

Trending News

Adani Energy Solutions says no material impact from Kenya energy deal cancellation

Adani Energy Solutions says no material impact from Kenya energy deal cancellation

November 24, 2024
Hang Seng index rebounded but faces substantial risks ahead

Hang Seng index rebounded but faces substantial risks ahead

September 22, 2024
Brazil’s CSN reports Q4 net loss of $15 million

Brazil’s CSN reports Q4 net loss of $15 million

March 14, 2025
Subscribe to Insightful Word


    Recent News

    China’s May export growth seen slowing to 5.0% amid trade uncertainty: Reuters poll

    China’s May export growth seen slowing to 5.0% amid trade uncertainty: Reuters poll

    June 6, 2025
    FTSE 100 Index shares of 2025: Rolls-Royce, Fresnillo, BAE, and more

    FTSE 100 Index shares of 2025: Rolls-Royce, Fresnillo, BAE, and more

    June 6, 2025
    Asian stocks end mixed: Hang Seng snaps winning streak, Nikkei jumps 0.5%

    Asian stocks end mixed: Hang Seng snaps winning streak, Nikkei jumps 0.5%

    June 6, 2025
    Starlink reportedly secures key licence in India, moves closer to launching services

    Starlink reportedly secures key licence in India, moves closer to launching services

    June 6, 2025

    Recent News

    China’s May export growth seen slowing to 5.0% amid trade uncertainty: Reuters poll

    China’s May export growth seen slowing to 5.0% amid trade uncertainty: Reuters poll

    June 6, 2025
    FTSE 100 Index shares of 2025: Rolls-Royce, Fresnillo, BAE, and more

    FTSE 100 Index shares of 2025: Rolls-Royce, Fresnillo, BAE, and more

    June 6, 2025

    Latest News

    • China’s May export growth seen slowing to 5.0% amid trade uncertainty: Reuters poll
    • FTSE 100 Index shares of 2025: Rolls-Royce, Fresnillo, BAE, and more
    • Asian stocks end mixed: Hang Seng snaps winning streak, Nikkei jumps 0.5%

    About Insightful Word

    • Contacts
    • Cookie Notice
    • Privacy Policy
    • Terms of Service
    • Trading tools
    • Contacts
    • Cookie Notice
    • Privacy Policy
    • Terms of Service
    • Trading tools

    Copyright © 2025 Insightfulword.com. All Rights Reserved.

    No Result
    View All Result
    • Investing
    • Stock
    • Economy
    • Politics

    Copyright © 2025 Insightfulword.com. All Rights Reserved.