The Solana price has risen by 0.5% in the past 24 hours, moving to $132.06 on an uneventful day for the cryptocurrency market as a whole.
SOL is also down by 18% in a week, with its price struggling amid a big drop-off in usage of Solana-based meme token platform Pump.fun.
The platform, which has been one of the main drivers of Solana’s meme token ecosystem, has seen its issuance levels dive from 20,000 new tokens per day in early August to only 5,900 today.
And with meme tokens also seeing a big drop in value recently, the next few weeks may be difficult for the Solana price.
Solana Price Recovers After Transaction Scare – But Is a Bearish Trend Still in Play?
Solana’s indicators would suggest that the coin should rebound in the near future, with its 30-period moving average (orange) flattening out today after a long decline below the 200-period average (blue).
Source: TradingView
Likewise, SOL’s relative strength index (purple) has just risen above 50, after spending nearly a week in an oversold position.
Combined with the converging resistance (red) and support (green) levels, this would point to an incoming rebound.
And given the coin’s rise today, we may be at the beginning of a more bullish phase for the token.
This would be the conclusion to draw from technicals, yet the fundamental picture looks a little more mixed for Solana, which up until the start of August has had a very good year.
As noted above, it’s now possible that Solana’s popularity as a platform for issuing meme coins may be waning.
The chart plots total tokens deployed (black line) against daily issuance (green bars). Source: Dune Analytics
The chart above shows that daily issuance (in green) has almost fallen off a cliff in the past couple of weeks, meaning that fewer issuers are using Solana to launch their own meme coins.
In part, this stems from declines we’ve seen with meme token prices, with CoinGecko data showing that the whole meme coin sector has fallen by 13% in a week, as opposed to 9.5% for layer-one tokens.
To be fair, it’s probably too soon to read too much into this, since Pump.fun also saw a relatively steep decline in daily issuance in June, when meme token prices – and crypto prices more generally – had an earlier decline.
As such, Solana seems like it’s in much the same position it was a month ago, with the Solana price likely to reach $150 again by November.
Meme Tokens May Bring More Upside Potential
While Solana has been the best-performing top-ten token this year, it’s possible that it may slow down in parallel with the trend for meme coins.
If so, traders may want to consider alternatives, which would include a mix of established and small-cap tokens, include some of the bigger presale coins.
And one of the biggest presale coins right now is Shiba Shootout (SHIBASHOOT), a new Ethereum-based token that has raised $1 million in its hugely popular offering.
Shiba Shootout has been attracting interest by virtue of its interesting mix of Wild West motifs and Shiba Inu memes.
It has honed in on the Wild West as a theme because of its focus on building a thriving online community, one which will be based around participation in mini-games and contests.
These will include poker tournaments, lotteries and online treasure hunts, while holders of SHIBASHOOT will also be able to join governance votes and help determine the project’s future.
By offering rewards in SHIBASHOOT to winners of contests and games, Shiba Shootout is looking to encourage a greater degree of engagement than it would have seen as a more ordinary meme coin.
It will have a max supply of 2.2 billion SHIBASHOOT, with 35% of this going to the presale, 20% to staking, and 10% to rewards.
This distribution makes SHIBASHOOT a relatively decentralized meme coin, while its fundamentals strengthen its bull case even further.
Investors can join its sale by going to the official Shiba Shootout website, where 1 SHIBASHOOT token costs $0.0201.
Given its early success and popularity, the coin is likely to rise well beyond this price once it lists in the next few weeks.
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