Solana’s price rises even as NFTs…
- The positive feeling around Solana skyrocketed in the last week.
- The price increased by 4% last week and the market indicators were positive.
Solana’s [SOL] NFT rooms experienced a decline over the past 30 days, as evidenced by multiple datasets. As per CRYPTOSLAMSolana NFT sales volume fell by 48% in the last month.
Not only did sales volume drop, but data also showed that the number of buyers and sellers for SOL NFTs fell by 33% and 28% respectively. A similar downward trend was also seen with the total number of transactions, which fell by 40% last month.
In addition, Bitcoin [BTC] NFT sale displaced platforms which Solana and Polygon [MATIC].
This could be a game changer for Solana
Although the situation at press time looked dire, the future may look quite different as SOL launched its latest feature in the NFT space. Messari, in a recent tweet, pointed out that SOL’s compressed NFTs could revolutionize asset storage and execution.
@Solana‘s state compression revolutionizes asset storage and execution.
With compressed #NFTs (cNFTs) using concurrent Merkle trees, companies enjoy affordable on-chain storage.
Impressive usage and 20-40% cost savings make cNFTs a game-changer. pic.twitter.com/6QkGohCab3
— Messari (@MessariCrypto) 4 June 2023
State compression is a new way to store data directly on-chain that reduces costs by scale. According to Solana’s official websiteprojects like user-owned wireless network Helium, NFT distributor DRiP, and on-chain publisher Wordcel are using state compression to bring their scalable, user-first experiences to Solana.
TTherefore, considering the benefits of state compression, the effects may soon be visible on Solana’s NFT measurements.
Solana did not buck the market trend
While most cryptos faced the heat of the bearish market, SOL acted differently. As per CoinMarketCap, SOL’s price has increased by 4% in the last seven days. At the time of writing, SOL was trading at $21.58, with a market capitalization of over $8.5 billion.
A look at Solana’s metrics on the chain sheds light on what went in its favor last week.
For example, blockchain development activity remained high. The tokenThe positive sentiment also increased considerably, which can be attributed to the price increase. One-week price volatility recorded an uptick on June 4, giving hope of a further price pump.
Read Solana’s [SOL] Price prediction 2023-24
SOL’s price to rise further?
If market indicators are to be believed, the possibility of SOL’s continued price increase seemed likely at the time of writing. The MACD revealed that the bulls were leading the market. Similarly, Solana’s Money Flow Index (MFI) recorded an increase.
In addition, the EMA (Exponential Moving Average) band showed the possibility of a bullish crossover as well.