Solana’s price has risen over the past five days as investors continue to spot the coin’s downside. The rally intensified after a big news broke in its ecosystem. It is trading at $37, which is almost 40% higher than its lowest level in the past week.
Magic Eden is now worth $1.6 billion
Solana is a major blockchain project that is renowned for its speed and regular outages. Over the past few months, there has been an increase in the number of well-known applications in its network. Some of the most popular projects in its ecosystem are Soland, Brave, StepN, and Audacious.
Solana’s price is rising as investors report Magic Eden has raised $130 million, even as the NFT winter continues. The company raised funds at a valuation of $1.6 billion, up ten times from March this year.
This increase comes at a time when there are concerns about the NFT industry. Some analysts believe that this is a bubble that is slowly bursting. Furthermore, the total volume of all NFTs traded on a daily basis declined sharply. Also, most of the people who buy NFTs are now sitting at a huge loss of paper.
Magic Eden is disrupting the NFT industry by making it easier and cheaper to purchase various collections. Some of the most popular Solana NFTs in its ecosystem are Primates, OK Bears, Yes Tigers, and Udder Chaos.
According to its website, the total volume of NFTs traded in its ecosystem was over 116k SOL, which equates to over $4.3 million. Magic Eden, which is already profitableIt is expected to generate over $100 million in revenue this year.
Solana’s price is also rising after the Soland DAO voted to liquidate some funds owned by a large whale. Worryingly, the whale has accumulated a small amount and takes out millions more in debt. If the SOL price drops to $22.30, the protocol will liquidate 20% of these funds.
Solana Price Prediction
The daily chart shows that Solana price is creeping back over the past few days. It has managed to jump over 40%. The coin remains below the 25-day and 50-day moving averages while the MACD is slightly below the neutral level.
So, although this correction is welcome, there is a possibility that the SOL price will resume its declining trend and revisit last week’s lows.
