Will Solana In Its Upcoming Cycle Become Irrelevant Like EOS?
Since the beginning of November 2022, the price of Solana has fallen by $30, and the cryptocurrency currently trading at $11.33, as it hits a month low on Saturday. Once the cryptocurrency was among the top cryptocurrencies in terms of trading, now it lost its property to survive in the crypto market. One popular reason for such a decline is the active decline in the number of developers.
Since the beginning of 2022, Solana has lost 97% of its developers from 2,453 to 75 as of now. At the beginning of January itself, Solana reached a maximum of developers, and ever since the number has been dropping, according to reports.
In addition to this, on November 10 Solana’s official Twitter handle stated that over a thousand of their developers have been using more than a thousand programs daily, as per the tweet 1,092 programs have been developed by more than 25,000 unique developers, who wrote, deployed and audited these Solana programs. The developers argued that the data provided regarding the count of developers is incorrect.
The low volume indicator of the coin indicates that the crypto hasn’t been actively traded for the past few weeks
FTX Issue Greatly Impacted Solana
In the case of Solana, the coin bears were initially hyped by venture capitalists. Many believe the coin’s price drop was due to FTX pumping Alameda with funds from FTX’s customers.
As the rumors linking the Solana environment with FTX drama have widely impacted the price of crypto. One of the most common issues faced by the Solana network is that some trouble-making investors keep putting a bad reputation on the coin, as it leads to suffering. In 2022 alone, Solana has suffered from full outages, including slow block times.
Solana is taking another hit as its biggest non-fungible token, NFT projects moving to rival Ethereum over the year-low price cap. NFT projects y00ts DeGods III created by Los Angeles-based NFT creator DeGods.
These are some of Solana’s largest NFT collections, which announced its merger with Ethereum and Polygon in the first quarter of 2023. The traders believe this is due to its price at a yearly low
However, the underperforming cryptocurrency has some real-world projects such as Solana’s mobile launching in 2023, and its engagement with google cloud.
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In addition, the plans of Helium to switch to the Solana network during the first quarter of 2023 is a promising factor for the crypto and its community.
Some experts believe, as the crypto has lost over 97% of its value and currently trading at just $12 has lost its touch in trading and keeps fading, many believe it might go the EOS way and be forgotten in the coming cycle.
EOC, Ethereum on steroids had a similar fate, the popularity of the coin was pondering over $4 billion in the biggest ICO of all time even before launching in June 2018. The coin didn’t last in the long run, it lost its relevance from $10 at launch to $4.40 in the last quarter of 2021.
Therefore, people have pointed out Solana’s resemblance to EOS, as Solana is suffering slowly as the price keeps going down. Yet, some have pointed out the difference between Solana having a strong NFT community on Twitter and their real-world projects that are going live in 2023.
So it is impossible to predict the future of the coin, in a similar way to EOS. investors and traders are highly rooting for Solana to power up its thrust at the beginning of the year. But the high possibility of recession next year fears every crypto community in general. Only time can tell if Solana can survive in the market.