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Solana has been considered an Ethereum killer resulting from its superior qualities
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The blockchain has been weak to frequent hacks
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SOL rose by 11% after the inflation information
Solana SOL/USD has typically been touted as a worthy competitor of Ethereum. Its low transaction prices and excessive speeds have seen the blockchain labeled an Ethereum killer. Nonetheless, Solana has confronted mounting challenges owing to frequent exploits.
Barely per week in the past, Solana wallets had been hacked, with about 8,000 of them focused. The Phantom, TrustWallet, and Slope customers had been all affected. The hack pushed the SOL token to commerce decrease. On August 9, Phantom stated its methods had been uncompromised within the hack. The newest hack is only one of many who have uncovered the vulnerability of Solana. Whereas the blockchain is touted to develop exponentially, the hacks might harm its credibility.
Wednesday’s inflation information got here constructive for many cryptocurrencies. Solana token was one in every of them because it staged recoveries. As of press time, the token was buying and selling up by 11% within the final 24 hours. That illustrates that buyers stay optimistic about recoveries. However is SOL now bullish?
SOL eyes a breakout of the resistance after the most recent beneficial properties
Supply – TradingView
Technically, SOL is buying and selling on the $43 resistance zone. A MACD crossover might counsel that the cryptocurrency is getting into the bull territory.
On the present worth, two eventualities are doubtless. The primary is a break above the $43 resistance. That might be confirmed by the shut of the day by day candle. If SOL efficiently clears $43, that may set it to the following resistance at $60. Alternatively, SOL might slip again to the consolidation zone. In that case, the bull case might be invalidated.
Abstract
SOL is bullish, however we have to watch for a break above $43. The cryptocurrency might additionally slip again to the consolidation zone if a breakout fails.