Solana (SOL) Price Tries to Recover From Correction, New Meme Coin Solaxy (SOLX) Offers 1,126% Staking APY

The Solana price tumbled more than 4% in the last 24 hours to trade at $197.93 as of 10:12 p.m. EST as traders short the altcoin.

The Solana price dropped more than 4% in the last 24 hours as traders short the altcoin.

Solana Price Falls Below $198 Resistance

The Solana price tumbled on Friday as traders continued to short the altcoin. SOL dropped by more than 4% in the last 24 hours to trade at $197.93 as of 10:12 p.m. EST.

The 24-hour pullback in the SOL price coincided with a broader market correction. Throughout the past trading day, the digital asset market cap dropped more than 3%, with market leaders Bitcoin (BTC) and Ethereum (ETH) falling more than 3% and 5%, respectively.

Solana Price Trying To Break The $198.64 Resistance

4-hour chart for SOL/USD (Source: GeckoTerminal)

Solana’s technical outlook seems to be improving slightly on Friday, with the crypto attempting to break above a key resistance level.

According to data from GeckoTerminal, the Solana price rebounded from the $186.51 support level in the last few hours. As a result, the crypto is now attempting to break above the technical barrier at $198.64.

Should it close a 4-hour candle above this threshold within the next 12 hours, the altcoin might have the necessary foundation to rise as high as $210.77 in the short term. On the other hand, a rejection by the $198.64 resistance could be followed by a retest of the $186.51 support.

Sellers might then exert overwhelming sell pressure on the Solana price in this alternative scenario, which could lead to a drop to the $172.02 support level.

Bulls Are Trying To Take Back Control Of The Solana Price

From a technical standpoint, indicators on SOL’s 4-hour chart suggest the Solana price might climb through the course of the next 24 hours. Both the Relative Strength Index (RSI) and Moving Average Convergence Divergence (MACD) show that buyers are slowly starting to take control of the crypto’s price.

After dropping into oversold territory, the RSI has started to climb again. Traders usually see rising RSI readings as a sign of growing buyers strength. While the latest reading at around 37 signals bears still have the upper hand, the positive slope of the RSI line suggests the indicator might soon break above the neutral 50 mark to indicate that bulls have taken back control.

Solana’s bearish momentum also seems to be cooling down, as suggested by the rising MACD Histogram values on the 4-hour chart. This indicator measures the distance between the MACD and MACD Signal lines and is used as a gauge to determine how strong an asset’s bullish or bearish momentum is.

The current orientation of the MACD and MACD Signal lines, with the former positioned below the latter, suggests the Solana price is in a negative cycle. However, the narrowing margin between the two lines could be an early sign of an upcoming bullish trend reversal.

Investors Turn To New Meme Coin Solaxy For High Staking Rewards

While the Solana price tries to recover from its recent correction, investors are turning their attention to the new meme coin Solaxy (SOLX), which offers a huge 1,126% staking APY.

In addition to the high passive rewards on offer, the token also comes with great speculative potential, according to popular crypto YouTuber ClayBro.

In a recent video for his more than 134K subscribers, he said that the SOLX token has the potential to soar 100X after its launch.

The First Solana Scaling Solution

The Solana network is under immense computational stress this year with the surging hype levels around meme coins. Due to its low fees and lightning speeds, Solana has become the blockchain of choice for developers this year. However, the influx of new meme coins has tested the network’s technical capabilities, even leading to another outage this year.

This is where Solaxy, which positions itself as the first Solana scaling solution, comes in. With its native layer-2 network, the project will provide some much-needed support to the Solana network. This includes increased scalability and even quicker processing times.

While its primary objective is to help Solana scale, Solaxy is more than just another SOL-based application. It is its own standalone project, with its token also residing on the Ethereum network.

This multi-chain meme coin approach enables Solaxy to become a gateway of sorts that combines Solana’s lightning fast speeds and ultra low transaction fees with Ethereum’s robust security and thriving DeFi ecosystem.

Solaxy, with its SOLX token, could therefore very well become the primary value transport vehicle between the two prominent blockchains.

Investors Bet Big On SOLX’s Future

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