Touted as an “Ethereum killer” as a result of transaction velocity and the scalability it presents, the Solana Network has not lived as much as its title. The collection of outages that the blockchain has suffered in lower than a 12 months has introduced its claims of reliability underneath scrutiny from members of the cryptocurrency neighborhood.
In lower than six months, Solana has suffered over 5 important outages. The collection of downtimes on the Community has had a ripple impact on the worth of its native token, SOL.
Following the outage suffered on 1 June, the worth of the SOL token nosedived from $46 to $38.5 in lower than 24 hours. The market capitalization of the token additionally suffered a drop down from $15.6 billion to $13.3 billion throughout the similar window interval.
Because of the collection of downtimes on the Solana Community and the bearish outlook of the crypto market up to now this 12 months, the SOL token has declined by over 75%.
Taking up a downward development since final November, actions on value charts revealed that the SOL token at present trades dangerously near the extent of August final 12 months.
Let’s check out the token’s efficiency since final November.
SOL-rowful figures
Launched in March 2020 by the Solana Basis, the SOL token has struggled to search out its footing in an ever aggressive cryptocurrency market. Exchanging palms at $43.17 per SOL token at press time, the token at present trades on the lows it marked final July/August.
Value chart actions revealed that the SOL token had struggled with averting the bears since round 16 November (yellow arrow). Trying a bull run from 27 November until 2 December (pink arrow), the token has since suffered severely from the palms of bears.
Supply: TradingView
From 2 December so far, the SOL token has posted an 81% loss in value.
Supply: Coinmarketcap
As well as, inside that window, the market capitalization of the SOL token has registered a 79% decline from $70.21 billion to the $14.69 which it stood at at press time.
No Place to Run to
With the guarantees of elevated transaction velocity and scalability that the Solana Community claims to supply, on-chain evaluation revealed that previously seven months, the event exercise on the community has taken a nosedive.
Improvement exercise is a key metric throughout the crypto ecosystem because it assures traders {that a} venture is severe about its enterprise proposition, will possible ship new options sooner or later and is much less possible that the venture is simply an exit rip-off. Within the final seven months, the event exercise on the Solana Community has fallen by 48%.
Supply: Santiment
On a social entrance, a take a look at efficiency confirmed that the SOL token struggled in March. Nevertheless since then, the social dominance and the social quantity for the token have since taken on an uptrend with occasional beatdowns.
With the plethora of downtimes suffered, a simple rationalization exists for this. At press time, the social dominance stood at 2.547% whereas the social quantity was noticed at 450.
Supply: Santiment
Posted Some Good points within the Final 24 Hours
Though the SOL token has had a horrible 12 months, it managed to register a ten% leap in value within the final 24 hours. In accordance with knowledge from Coinmarketcap, it at present ranks quantity 9 on the record of largest cryptocurrencies by market capitalization.
Supply: Coinmarketcap
