Solana Price Braces Potentially Under $100 Amid Investigation Rumors

Solana’s price has experienced a sharp decline in the past month in line with a broader market correction, intensifying concerns as rumors of a possible investigation into the popular blockchain space have recently surfaced.

Brewing a Controlling Storm?

In a social media posts on X (formerly Twitter), market expert Crypto Bitlord, who has more than 300,000 followers, revealed the investigation of rumors about Solana. The post reads:

We are hearing rumors that SOL is being investigated and the big case is about to be revealed. This has been weeks in the making and it couldn’t come at a worse time.

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While no specific details about the jurisdiction or agency investigating Solana’s alleged involvement have been released, the United States has been leading the charge. ongoing fraud in the cryptocurrency industry since the collapse of the FTX crypto exchange in late 2022.

The aftermath of the FTX incident resulted in a series of lawsuits and lawsuits against various industry executives. Notable figures such as Binance’s former CEO Changpeng Zhao (CZ) and Coinbase have faced legal scrutiny.

A comparable situation can be drawn with XRP and Ripple, as they are involved in a complex legal dispute over the sale of digital asset.

At Crypto Bitlord, who has contributed to projects such as Shiba Inu (SHIB), Floki Inu (FLOKI), and Pepe Coin (PEPE), the potential impact on Solana’s price is significant. In response to skeptical comments, Bitlord warned, “Don’t cry if SOL is $3 again.”

However, until more news emerges about the alleged investigation, these statements remain speculative. Solana’s founders have not made any official statements regarding these rumours.

Solana Price Analysis

The price of Solana has experienced significant losses in all different periods, with a decrease of more than 9%, 18%, and 22% in the last seven, fourteen, and thirty days, respectively. However, despite the low trend, the trading volume of SOL has remained strong, exceeding $2.8 billion in the last 24 hours alone, according to CoinGecko. data.

Digital Asset Investment firm CoinShares report significant inflows into various altcoins following recent price weakness, with Solana seeing inflows of over $2.7 million. This suggests that despite the price drop, some investors are seeing potential value in SOL and are entering the market strategically.

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However, Solana’s price is facing a critical test as it approaches key support levels. Currently, SOL is trading just above the four-month support level at $127, which marked an uptick when Solana’s price hit an annual high of $210 in mid-March.

If sales pressure strengthens and this support is broken, SOL may return to $117, which represents the next key support level for the mid-term tank.

Other support walls for SOL in case of a bearish move are at the $109 and $102 levels. These levels should be watched closely by active investors who want to prevent Solana from falling below $100.

Featured image from DALL-E, chart from TradingView.com