Key Insights
- Solana’s historical crashes and ties to FTX have always raised concerns about its stability, despite its current success.
- After rising so steadily over the last 2 months, Max Keiser is now hinting at a potential “rug pull.”
- Solana faced a critical test at $125, and could potentially drop to $80 if it breaks below $106 or rally to $145 if it rebounds.
- Technical analysis suggests Solana bulls are holding the line at $106, creating a bullish flag pattern with potential for further gains.
- Keiser’s tweet adds fuel to the ongoing debate about whether Solana’s success is genuine, or a warning sign of a coming drop.
SOL has been on a tear as of late, shunning critics and rising nearly 1000% over the last day, according to data from CoinMarketCap.
In short, SOL has emerged as one of the best-performing assets of 2023 and remains unbeaten among the top 10 cryptocurrencies by market cap.
However, SOL hasn’t been one of the most trustworthy crypto assets, historically.
For example, aside from its connection to former FTX CEO, Sam Bankman-Fried and its 90% crash in November 2022, SOL also had a history of crashes and outages before 2022.
Because of this, SOL has always had a cloud of uncertainty around it, prompting endless comments from critics.
Rug Pull on Solana?
A controversial tweet recently popped up from renowned crypto advocate and commentator, Max Keiser.
Keiser, who is known for his criticism of SOL, hinted at SOL possibly being a “rug pullâ€.
In essence, Keiser may have been referring to big companies and individuals cashing in on their investments, seeing as SOL has pumped strongly over the last few months.
How Low Can Solana Go?
SOL appears to have hit a wall somewhere around $125, and is now in a decline from this level, as shown below:
However, the wall around $125 has pushed Solana into a retest of an ascending trendline that has held throughout December.
As shown, Solana’s bulls are holding the cryptocurrency up around $106, in a bullish flag formation.
This means that a break below $106 will likely see SOL fall straight down to the $80 zone, where the bulls are expected to hold the cryptocurrency from going further down to $68 or even lower.
Conversely, if a rebound from $106 occurs, SOL is capable of rising further up to the $145 price target.
Disclaimer: Voice of Crypto aims to deliver accurate and up-to-date information, but it will not be responsible for any missing facts or inaccurate information. Cryptocurrencies are highly volatile financial assets, so research and make your own financial decisions.
