With the end of the year fast approaching, the theory that Solana could hit the $300 mark seems to be further away from realization. Within the past month, Solana has seen a significant drop from a high of $260 to a current price of $172.18 at the time of this writing.
Solana is a complete competitor to Ethereum with its low transaction fees and the ability to provide many developers with a more efficient and green platform. There are no real reasons to think that Solana will not eventually be a powerhouse blockchain but with all new platforms, there will always be ups and downs.
DDoS attacks have been a problem with Solana since early September and this has caused trust in the service to wane. Recently there was another DDoS attack that has left backers of Solana really worried. Some rather large investors like Grayscale have pointed out some of the risks of the Solana blockchain. These attacks and the potential risks of Solana have become some of the reasons for hampering interest from other investors. Network speeds have dropped due to the attacks on the chain and attacks are really questioning the stability of this blockchain.
With all of the woes with Solana recently there is still hope for the blockchain to hit the $300 mark by the end of this year. Solana has had amazing success and rapid growth over this current year. Investors are still looking for an “Ethereum Killer” due to all of the red hot gas fees of late. There are also many other factors that may contribute to the $300 price of Solana by the end of the year.
Factors of Growth
Grayscale Investment and the Grayscale Solana Trust have helped SOL price increase by offering investors a new way to gain exposer to the digital token. With the Grayscale Solana, trust investors are seeing less risk to their investment and thus the price is expected to further rise.
Less Energy Consumption
We have spoken about how green the Solana blockchain is in another article. Investors are aware of the low amount of energy needed for transactions on the Solana blockchain compared to its competitors. This simple fact could be another major reason for Solana gaining value over other blockchains.
Gaming on the horizon
With Star Atlas at the forefront, Solana is gearing up to be a platform for multiple gaming projects. Solana announced participation in a new $100 million USD fund to boost blockchain gaming. The platform will make it much easier for games to be built and even their NFT counterparts to be offered.
Can Solana Hit $300
Solana currently sits at $172.18 and the price of $300 does seem a bit far. Looking at the current trends on the market and how Solana has been dropping recently one could assume that reaching that $300 goal might be impossible before the end of the year. There are indeed many factors that could contribute to a rally and sudden burst but with the many issues Solana has been facing and the waning interest of investors that may indeed be a bit difficult. Solana still has 20 days to pull itself up and in the world of crypto, change is always sudden and miraculous.
Remember none of our articles are financial advice or advertisement. As usual, do your own research and make decisions based on what is best for you. Some of the assets may be held by our staff. Remember you can find out more about Solana and Solanews here