Cryptocurrency markets remain relatively flat this Thursday as Bitcoin, Ethereum, and Solana prices show little movement. After the news about the Solana hack broke last night, many traders expected SOL to show a substantial downtrend. However, Solana is holding current levels relatively well, only down 2.55% in the past 24 hours.
Crypto Market Trading Volume Drops Significantly
While cryptocurrency prices remain steady, the market is seeing a significant drop in the 24-hour trading volume. Bitcoin’s volume is down 10%, Ethereum’s is down 17%, and Solana’s is down over 40% since yesterday.
The decline in trading volume means traders are waiting on the sidelines for the following market movement before opening their positions. As the crypto market remains above the $1 trillion level, we could see a bullish run in the next several days, especially after the Solana network hack news dissipates.
After all, the cryptography of the Solana network hasn’t been compromised, and the consensus regarding the multi-million dollar hack is due to a vulnerability in Slope’s software, leaking the private keys of thousands of wallets.
For those unfamiliar with Slope, it’s a mobile wallet similar to Phantom and is one of the most popular Solana-based wallets for iOS and Android applications. The exact vulnerability which led to Slope leaking the private keys to their users’ wallets is still unknown. Still, the consensus in the Solana community is that affected addresses were all created via Slope at one point.
There is no evidence the Solana protocol or its cryptography was compromised.
— Solana Status (@SolanaStatus) August 3, 2022
The fact that Solana’s protocol hasn’t been compromised is a bullish sign regarding the effect the hack might have on the cryptocurrency market. That’s why we’re not seeing much activity in the market today.
Bitcoin, Ethereum, Solana Price Prediction
As the markets find new support, Bitcoin and Ethereum will likely continue trading sideways throughout the weekend before establishing enough momentum for a bull run next week. Bitcoin is attempting to hold the $23k support level, currently trading at $22.9k, and Ethereum remains above $1,620. Solana will continue on its downtrend until next week, when it will attempt to breach the $40 resistance level again.
The short-term sentiment for crypto markets remains bullish as the global market cap is above $1 trillion. Now makes for an excellent opportunity to pick up some underrated Metaverse crypto coins or other projects which could show substantial price growth next week, assuming a crypto bull run starts.
Disclosure: This is not trading or investment advice. Always do your research before buying any cryptocurrency or investing in any services.
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