Solana [SOL] is slated to turn out to be the subsequent residence for the Helium community. The announcement made by the Helium Basis was a part of a brand new proposal dubbed HIP 70. If permitted, it’ll mark the beginning of a sturdy partnership between the 2 decentralized networks.
The announcement marks an necessary milestone for the 2 networks, particularly when it comes to development and collaboration. Fairspott Helium founder, Arman Dezfuli-Arjomandi highlights one of many main advantages of Helium launching on the Solana blockchain.
What am I most enthusiastic about? The staff with the ability to deal with constructing information networks as an alternative of the novel L1 Helium blockchain.
It will unlock agility, optionality, and I can solely think about will scale back stress for everybody concerned.
7/
— Arman Dezfuli-Arjomandi ? (@rawrmaan) August 30, 2022
Will Solana’s previous stand in the best way?
Solana would profit from extra utility and adoption particularly contemplating the size of Helium’s endeavor.
The selection to shortlist Solana obtained criticism in equal measure. A number of the respondents have expressed dissatisfaction with Helium’s determination to focus on Solana as its subsequent residence.
Why not polkadot, matic, BNB, EGLD, cardano, why solana? Which isn’t so decentralized and is down every now and then. If you don’t care about decentralization simply use a standard DB,
— Rusu Gheorghe (@RusuGheorghe3) August 30, 2022
The misalignment of opinions relating to Solana because the potential host blockchain for Helium could have an effect on the vote end result.
However, some argue that Solana is battle-tested and former downtimes have solely made it stronger. The upcoming group vote will determine whether or not Helium is destined to turn out to be a part of Solana.
SOL’s worth motion
SOL traded at $32.36 at press time, which was a 33% drawdown from its four-week prime. It’s off to a bullish begin this week after virtually dipping into oversold territory.
Supply: TradingView
The slight upside is courtesy of accumulation through the weekend as indicated by the Cash Stream Index (MFI). Sufficient bullish volumes would help a stronger restoration.
The FTX and Binance funding charges demonstrated sturdy upside within the final three days. This means that investor sentiment is shifting in favor of the bulls.
On the similar time, it aligns with the oversold zone retest, thus creating an alignment of bullish indicators. SOL’s worth has, thus, achieved some upside. Thereby, indicating that there was wholesome accumulation at its present four-week lows.
Supply: Santiment
A number of the different observations at the moment supporting the bullish sentiment embrace an uptick within the complete NFT trades volumes since 28 August. Enhancements within the variety of NFT trades could help improved buyers’ sentiment.
On the similar time, whales’ stablecoin provide lowered within the final three days, suggesting that they’ve been shopping for again on the latest lows.
Supply: Santiment
SOL’s present upside, at press time, was reasonably restricted. It was nonetheless a wholesome signal of accumulation after a large draw back.
A vote in favor of Helium launching on Solana would offer sturdy confidence for a probably greater rally.
