It hasn’t been a stellar year for cryptocurrency in general. Among the hardest-hit cryptos in 2022 has been Solana (SOL-USD). Could the price collapse persist into the coming year? Some Solana price predictions suggest that there may, indeed, be more downside in the cards.
Solana is known as a preferred network for launching non-fungible tokens (NFTs). However, Solana encountered a major problem this year. As it turns out, Sam Bankman-Fried, the founder of FTX and Alameda Research, was an early investor in Solana.
Having a connection to the now-bankrupt FTX certainly didn’t help Solana. Plus, investors became concerned that Alameda would divest its stake of over $1 billion. On top of all that, Solana-based NFT projects DeGods and Y00ts are reportedly moving to other networks. That’s a big deal, because DeGods and Y00ts are the “two most traded Solana NFT collections on the OpenSea marketplace,” according to a report from forkast.
All in all, reputational issues have plagued cryptos in general and caused major problems for Solana in particular. This begs an interesting question, though: Is there a buy-the-dip opportunity here, or should investors stay away from Solana?
What Are the Latest Solana Price Predictions?
Solana has fallen from $178 to slightly more than $10 this year. If the trend is your friend, then Solana has definitely been unfriendly to its long-term investors. Solana price predictions are mixed, and it seems that the crypto could move in either direction over the next 12 months.
An article from FXStreet, for instance, suggests Solana could decline another 34%. Apparently, technical considerations and a potential economic recession might push the SOL price below $1.
Meanwhile, WalletInvestor envisions Solana reaching a minimum price of 56 cents, a maximum price of $1.68 and an average price of $1.12 on the final day of 2023. Clearly, the site isn’t ultra-bullish on SOL.
However, CryptoNewsZ might offer some hope to downtrodden Solana holders. For 2023, the site predicts SOL will reach a minimum price of $50.98 and a maximum price of $67.26.
Of course, you have to make your own decision when it comes to Solana. If there’s one thing most traders can agree on, though, it’s that SOL has had a rough year. Continued volatility is always a possibility.
On the date of publication, David Moadel did not have (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.