In August 2021, these coins were popular in the market and rapidly broke into the top 10 cryptocurrencies by capitalization. ADA and SOL were seen as major rising stars that would take the ecosystem trend to the next level. However, a series of negative news and events, a market correction, and a market crash are the reasons why the coins are in a completely different position.
ADA, which has been called the next Ethereum killer, is the sixth-largest cryptocurrency by market capitalization with a value of $56.3 billion as of November 25. As of 3 pm, the altcoin was trading at $1.7, a three-month low. The reason for such a sharp decline was eToro's delisting, which excluded the cryptocurrency for US users due to regulatory risks. US traders will not be able to trade ADA/USD from the end of December. This has caused a negative market reaction. The altcoin collapsed by 5% and tested the support zone at $1.67, which seriously stressed all crypto holders.
Technical indicators for the crypto are pointing to recovery within the daily timeframe. MACD continues to go down, indicating weakness of the buyers and lack of strength of the long-term upward momentum. Stochastic and the relative strength index are slowly recovering, indicating bullish activity in this area. However, it can be assumed that the coin is in for a tough time, as buying activity remains low. The weak green candlestick, which formed on the daily chart as a reaction to the drop in price, is indicating this. The altcoin ecosystem is developing, but extremely slowly, and the August rise now looks manipulative. And even gains like the Bitstamp listing are not reflected in the price of the asset. The sluggish growth of the coin also suggests a lack of visible prospects for the altcoin. Notably, no product releases of the project are foreseen in the near future.
Solana's market capitalization amounted to $64.3 billion. In comparison with ADA, it has shown excellent gains in recent months and has renewed its all-time high this autumn. As of 3 pm, the asset is trading around $212, due to the market correction that the entire sector has undergone. The Solana ecosystem has proved to be a more confident Ethereum killer, managing to take some of the audience away and actively using funds to attract investment. In November, total institutional investment in SOL reached $43 million. In addition, cryptocurrency experts believe the asset will make a sharp jump in value to $1150 in 2025, and the coin will be worth more than $5k in 2030. They cite the DeFi market as the main success factor. There the altcoin and smart contract technology capabilities are best realized.
The coin is trading near the resistance zone and cannot pass it yet. The price came up to $240, where the Fibonacci level of 0.382 also is, and rebounded from it, exacerbating the correction. Over the past week, the situation around the altcoin has been bearish. Technical indicators suggest that the bulls are not particularly keen on accelerating the coin's uptrend. The MACD is declining, showing the weakness of the long-term uptrend, while the stochastic and the relative strength index are moving sideways in a bullish zone. All this indicates uncertainty about the relatively short-term future of the project and a wait-and-see attitude. Meanwhile, SOL on-chain metrics show a high level of interest in the coin. Therefore, there is no doubt that the upward movement of the coins will continue after the end of the break.
The altcoins soared almost at the same time and had an equal chance of being dubbed the Ethereum killer. However, the sustainability of the project and its real value proved to be different, causing ADA to fall to the lows, while SOL is attracting more investment and developing its own ecosystem.
