Solana Price Soars 10% As $325 Million Reinstated on Wormhole

The Solana price has been on an upswing ever since the bloodbath that followed DeFi’s largest hack of 2022. The Wormhole network stated that stolen money had been restored, giving Solana price some much-needed relief.

Related Reading | Solana price recovers from downtrend after $325 million restored on Wormhole network

After hours of being lost to what some call the largest DeFi hack, the crypto was restored. Jump Crypto’s currency-focused arm worked in tandem with other Quant trading firms, and together, they were able to restore all funds that hackers had stolen from investors last week.

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Jump Crypto stated;

“we believes in a multichain future and that Wormhole is essential infrastructure. That’s why we replaced 120k ETH to make community members whole and support Wormhole now as it continues to develop.”

The firm’s decision to replace 120,000 Ether in support of community members on the Wormhole network revealed that hackers failed to refabricate stolen cryptocurrencies.

Yesterday’s exploit compromised $325 million worth of Ether, and the Wormhole network offered a 10-million dollar bounty for information on who did it. Unfortunately, the hacker still has access to these funds, meaning they have rejected the offer.

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Related Reading | Wormhole Token Bridge Lost $321M In Crypto Heist

Solana Price Recovery From Bloodbath

The price of Solana dropped nearly 10% after news broke about the Wormhole exploit. The largest DeFi hack on Solana acted as a negative factor for this altcoin, heavily influenced by lousy publicity. 

A cryptocurrency analyst and trader widely followed for his accurate price predictions by investors of all sizes across the board, Johny noticed that Solana might be ready to make its next move up. Further, he noted an upward pattern developing within range lows before Ethereum killer could start its leg straight back down again.

“$SOL beautiful retest of range lows. Flip range highs and next leg upstarts. Haven’t seen this much strength from Solana in what feels like forever.”

Bitcoin’s fall to the $36,250 level triggered a dip for major altcoins. While most coins were red on Thursday, Solana also dipped nearly 10%. The larger market experienced a dip as well due to bitcoin’s movements.

What a difference a day makes! Solana dipped more than most of its counterparts in the top ten cryptocurrencies by market cap, but it charted an equally good recovery at press time.

After an attack on Wormhole, SOL dipped to as low as $94 on February 3. However, the price saw some recovery and even managed a decent pump before long.

The price of Solana is rising once again. As I’m writing these words, the currency had traded at $108 and presented 11.7% daily and 18.75% weekly gains.

Solana Price
Solana is currently trading at $108 with an 11.7% rise. Source:

With trade volumes still maintaining low, some say that the spot markets are still too uncertain about investing in, but a decent price push could change investors’ mood for good.

                   Featured image from Pixabay, chart from


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Bottom ahead? Solana paints its first ‘death cross’ as SOL losses 50% in January

Solana (SOL) looks poised to paint its first “death cross” this week, raising fears that its ongoing selloff would continue further into February.

Real selloff threat

Notably, the SOL price’s 50-day exponential moving average (50-day EMA; the red wave) will eventually close below its 200-day EMA (the blue wave), signaling a bearish crossover, called death cross, that typically prompts traders to sell.

SOL/USD daily price chart featuring its 50-200 EMA death cross. Source: TradingView

The threat surfaces as SOL looks to close January at nearly a 50% loss — as of the month’s final day, the Solana token was down by over 2.50% to nearly $91, compared to almost $180 at the start. Meanwhile, the catalysts behind SOL’s price crash remain pretty much intact.

Crypto-assets have fallen this month as traders have attempted to assess how fast the Federal Reserve would increase its benchmark rates from near-zero levels to tame booming inflation and tighter jobs market. Solana, as a result, has wiped half its market valuation in January from $55.19 billion to $28.79 billion. That is after it closed 2021 at a whopping 11,144% profit.

That has got some financial experts to expect a “crypto winter” ahead, a term referring to concerning bearish cycles in the cryptocurrency market, such as the one seen during 2018 wherein digital assets’ combined market cap fell by more than 80%.

As of now, SOL’s interim bullish outlook hangs over its possibility to hold above $83, its current support level. A break below the said price floor could have the Solana token find its next pullback opportunity not until $65, as shown in the chart below.

SOL/USD daily price chart featuring its interim support targets. Source: TradingView

Both support levels were instrumental in sending the SOL/USD pair to its record high above $260 last year.

Philip Gunwhy, partner at, remained long-term bullish on Solana, citing its exponential growth in the decentralized finance (DeFi) and nonfungible token (NFT) sectors that boost SOL’s demand. However, the analyst noted that its swift rebound in the short term depends on the performance of the broader crypto ecosystem.

“For Solana, maintaining solid support at $65-85 area is undoubtedly the primary focus for the week while maintaining a longer-term focus to retest its All-Time High around $260,” Gunwhy said.

Rebound scenario

No previous data shows how SOL traders react to a death cross since it will be Solana’s first 50-200-day EMA bearish crossover to date. But considering that people who trade SOL also have been trading Bitcoin (BTC) over the recent years, one can notice that death crosses bother them very little.

For instance, a 50-200-day EMA crossover, witnessed in the Bitcoin market in June 2021, followed a drop towards $29,000. But a month later, the BTC price bounced back strongly, eventually reaching its all-time high of $69,000 in early Nov. 2021.

BTC/USD daily price chart featuring recent death crosses. Source: TradingView

Similarly, over the past decade, death crosses in the S&P 500 (SPX) have lost their significance due to false bearish alarms. For instance, the last two bearish crossovers between the SPX’s 50-day EMA and 200-day EMA — in December 2018 and March 2020 — led to bottom formations, followed by strong price rebounds.

S&P 500 daily price chart featuring recent death crosses. Source: TradingView

That raises the possibility that SOL’s death cross would have its price bottom out in the coming sessions, followed by a bullish reversal. In doing so, the Solana token may eye previous support/resistance levels for a potential rebound move towards its 200-day EMA.

SOL/USD daily price chart featuring rebound scenarios. Source: TradingView

More cues for a bullish rebound also come from the SOL price’s oversold relative strength index (RSI), a classic buy signal.

The views and opinions expressed here are solely those of the author and do not necessarily reflect the views of Every investment and trading move involves risk, you should conduct your own research when making a decision.