Solana (SOL) Shows Potential for Further Gains
As the cryptocurrency market starts the week with a bullish sentiment, Solana (SOL) is also following the trend. Technical analysis suggests that there could be more gains in store for the seventh-largest cryptocurrency by market capitalization.
Solana has recently broken out of its triangle chart pattern on the daily time frame, signaling the start of a new upward trend. This indicates the potential for further increases in the near future, according to information from finance and crypto analytics platform TradingView on October 17.
Lido Finance Ends Solana Operations
However, Solana’s upward move may face a challenge as decentralized liquid staking platform Lido Finance plans to wind down its Solana operations. The decision was made after the DAO members voted in favor of winding down Lido on Solana protocol.
The exact date for the complete cessation of Solana operations is still unknown, but it is estimated to take place by February 2024. The process will involve halting frontend support and limiting unstaking only through the command-line interface (CLI).
Lido will stop accepting new staking deposits on Solana in October and voluntary node operator off-boarding from the pool will occur in November this year, according to an announcement by the platform.
Hot Take: Solana Faces Setback with Lido Finance’s Exit
While Solana shows potential for further gains in the cryptocurrency market, its upward momentum could be hindered by the exit of Lido Finance from its operations on the Solana protocol. As Lido winds down its activities, it may impact investor sentiment and contribute to increased volatility in SOL’s price. However, it remains to be seen how this development will affect Solana’s long-term prospects and whether other factors will offset the negative impact. Investors and traders should closely monitor the situation and consider the implications of Lido Finance’s exit on Solana’s future performance.
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