5 hours ago
A widely followed analyst is leaning bullish on Solana ( SOL ) over the long term amid an upcoming upgrade. In a new video, the analyst pseudonymously known as InvestAnswers tells his 563,000 YouTube subscribers that a proposal to reduce Solana’s inflation rate by around 80% at the end of Epoch 755 heightens Solana’s bullish prospects. An Epoch is a fixed period during which certain network activities such as governance matters, protocol upgrades, and other related matters are decided and executed. At the same time, InvestAnswers says the bullish thesis for the sixth-largest crypto asset by market cap is further improved if the U.S. Securities and Exchange Commission (SEC) approves a spot Solana exchange-traded fund (ETF). “…they’re coming up with this vote to reduce inflation on Solana, which currently is not that bad at all. But that will reduce inflation from about 4.8% down to about 0.86% inflation. If it passes, if it passes and it’s looking possible that it might… the voting ends at the end of Epoch 755… if this does happen, all of a sudden Solana becomes the hardest layer-one asset. Remember, Bitcoin inflation is 0.85%. Solana’s, if this passes, will be 0.86%. And my question is, what happens if a Solana ETF comes? I mean, so much is staked. There’s very little on exchanges. We could see a crazy pump.” On the reduced staking rewards, the proposal to cut Solana’s inflation rate is likely to have, InvestAnswers says, “People say, ‘well, if inflation goes down, won’t my staking rewards go down?’ Well, the math of it is your price appreciation will far exceed your staking rewards. So please think price appreciation – do you want an asset to go from $120 to $240 or do you want an asset to stay at $120 and get 6% or 8% per year. The answer is you want it to double. That will impact price appreciation more.” Solana is trading at $126 at time of writing. Don`t Miss a Beat – Subscribe to get email alerts delivered directly to your inbox Check Price Action Follow us on X , Facebook and Telegram Surf The Daily Hodl Mix Disclaimer: Opinions expressed at The Daily Hodl are not investment advice. Investors should do their due diligence before making any high-risk investments in Bitcoin, cryptocurrency or digital assets. Please be advised that your transfers and trades are at your own risk, and any losses you may incur are your responsibility. The Daily Hodl does not recommend the buying or selling of any cryptocurrencies or digital assets, nor is The Daily Hodl an investment advisor. Please note that The Daily Hodl participates in affiliate marketing. Generated Image: Midjourney The post Analyst Unveils Catalysts That Could Trigger ‘Crazy Pump’ for Solana, Says SOL Could Become the Hardest Layer-1 appeared first on The Daily Hodl .
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Crypto Market Faces More Trouble as Traders See Few Signs of Recovery
There has been a significant decline in crypto-wide trading volume following its peak on February 27th. Back then, traders were optimistically purchasing tokens as prices dipped. However, in the two weeks that followed, market cap declines have contributed to a noticeable shift in trader sentiment. Exhaustion, Hopelessness, And Capitulation According to Santiment’s analysis , this shift can be characterized by exhaustion, hopelessness, and capitulation. The drop in trading volume has continued, even amid brief price recoveries such as the one observed on Wednesday. This declining volume suggests a growing sense of caution among traders, indicating that many remain unconvinced that recent upward price movements will sustain. This lack of confidence is reflective of uncertainty, with fewer investors willing to buy at current levels due to concerns about potential losses. Additionally, declining trading volume during minor price rebounds can serve as an early warning of weakening market momentum. Without significant buying interest to support price gains, any recovery may prove temporary, leaving prices vulnerable to another downturn. While falling volume during brief rebounds is not inherently bearish, it does reflect hesitation from both retail and institutional traders. If both groups hold back, waiting for the other to re-enter the market and boost prices, this indecision may lead to stagnation with a slight downward bias. For a stronger and more sustainable recovery, Santiment said that traders typically look for rising prices accompanied by increased trading volume. Until this occurs, prevailing market sentiment is expected to remain cautious, and hesitant investor behavior will likely dominate crypto trading patterns in the short term. Stablecoin Activity Surges On a positive note, the total amount of tokens transferred for all stablecoins is surging , which points to a potential accumulation by large investors. Historically, such spikes occur during consolidation phases rather than price declines. Such a trend could mean that major investors are likely absorbing market shocks through over-the-counter (OTC) transactions. Increased active addresses further indicate increased network activity. With extreme fear sentiment dominating, this accumulation may point to a potential recovery phase. Once accumulation stabilizes, a futures market rebound is expected. Given the current “subdued” sentiment, any rise in futures prices is unlikely to overheat, but a short squeeze could accelerate recovery significantly. The post Crypto Market Faces More Trouble as Traders See Few Signs of Recovery appeared first on CryptoPotato . The Daily Hodl
Possible Shift in Strategy’s Bitcoin Acquisition Amid Market Headwinds and ETF Outflows
Following Donald Trump’s reelection, Michael Saylor’s Strategy rapidly acquired Bitcoin, but recent market shifts indicate a potential change in approach. Despite being a dominant force in the Bitcoin market, Strategy’s The Daily Hodl
