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After a stellar December, Solana (SOL) bears are finally in action as the digital currency is seeing an unimaginable correction in its bid to create another crucial historic month. At the time of writing, Solana is changing hands for $105.95, down by 5.53% in the past 24 hours. Per the current outlook, the digital currency has seen waning buying interest, with trading volume down by more than 22% to $4,362,297,095.
Solana has had a very successful 2023. The coin opened the year with a price of $8.14, and after a range-bound movement from January until around mid-October, the digital currency started its upward journey to stardom. By a very large margin, Solana is now judged to be the most successful cryptocurrency in the top 20 ranked by market capitalization.
Over the past year, Solana has jumped by more than 956% despite the current daily drop in its valuation. This impressive statistic compares with the 159% on record by Bitcoin (BTC). While the rate of the fall is concerning, it remains to be seen what the key trigger of this sell-off is, but after more than 92% growth in the past month, it is not unexpected that traders are taking profit as the New Year approaches.
Solana ecosystem taking breather
While Solana charted its bullish path over the past month, it also recorded a massive jump in many crucial ecosystem metrics as it flipped Ethereum (ETH) in many ways, including non-fungible token (NFT) performance and DEX trading volume growth.
In addition, the associated Solana-based meme coins that experienced parabolic price runs are now also taking a breather as the broader blockchain cooled off its gains. While there are a few more days before the year's end, the chances that Solana and its associated innovations will recover are high, considering its antecedents when it comes to price falls.
Denys Serhiichuk
Gamza Khanzadaev
