Does Bullish's decision to accept proceeds from its $1.15 billion IPO of Solana-based stablecoins mean a significant rebound for SOL is coming?
SOL has fallen to $181 today as the entire cryptocurrency market declines ahead of the Federal Reserve's Jackson Hole meeting later this week.
This means that Solana's price has fallen by 8.5% in the past week and has also dropped by 30% in the last 5 days.
These percentages are disappointing, but there is reason to believe that the token will recover strongly in the medium to long term, as cryptocurrency exchange Bullish announced yesterday that it will raise $1.15 billion in Solana-based stablecoins.
This is a significant vote of confidence in Solana and its ecosystem, combined with its recent momentum and fundamentals, pointing to a very promising long-term SOL price forecast.
Is the altcoin season starting? With bullish bets on Solana's stablecoin raising $1.15B in capital, is SOL's price about to soar significantly?
The exchange explained yesterday when announcing this move that it would obtain the proceeds from its very successful stablecoin IPO, with the vast majority [...] minted on the Solana network for Bullish.
Lily Liu, chair of the Solana Foundation, viewed this news as a very important moment in Solana's relatively short history when commenting on Bullish's press release.
She said: 'Bullish's use of stablecoins in its IPO combines public market infrastructure with blockchain rails, highlighting Solana's unique position in driving market efficiency and innovation in a new era.'
However, despite this news being positive for Bullish, Solana, and the broader cryptocurrency space, it coincided with a disappointing day for the market, which suffered losses due to fears that the Federal Reserve might again refuse to budge on interest rates.
But if we look at Solana's charts, we find that it is nearing a bottom and may soon rebound again.
For example, both its Relative Strength Index (yellow) and MACD (orange, blue) turned negative today, nearing a point where there is nowhere to go but up.
We have also seen that a bullish flag has been forming since mid-July, preparing SOL for a significant move in either direction.
Given that the token's ATH remains in a downtrend and considering its recent positive news, this trend is likely to move upward.
Assuming the Federal Reserve's meeting this week brings good news, the SOL price could break $200 again next week and then reach $300 in the fourth quarter.
Wall Street Pepe outperformed the market with a 10% gain.
In recent months and years, not only have stablecoins based on Solana been popular, but meme tokens based on Solana have also gained popularity.
In fact, meme coins have been one of the key factors driving Solana's growth, with the blockchain capturing the largest share of meme token trading volume.
It continues to witness the launch of new tokens every day, with an exciting new member on its chain being Wall Street Pepe (WEPE), which is launching a SOL-based version.
WEPE was launched in February after raising an impressive $73 million in a presale, and it has risen by 10% in the past 24 hours.
Since the end of May, its price has been $0.00005375, actually rising by just over 250%, making it one of the best-performing tokens during this period.
Today's rise occurred after the news of its launch of Solana-based token versions, with investors able to buy directly from its official website before the release.
They can purchase token versions based on Solana with fiat or cryptocurrency, or buy them by depositing their Ethereum-based versions.
Wall Street Pepe is planning to conduct various exchange listings at launch, which could significantly boost its price in the coming days and weeks.
It will also proportionally burn its Ethereum-based supply based on the number of Solana-based tokens sold, helping to maintain its price.
