Popular crypto analyst alias Crypto Bitlord has informed more than 328k X platform followers that Solana (SOL), a top-tier web3 ecosystem with nearly $3 billion in total value locked, is facing a major investigation that could send the altcoin in a multi-week selloff.
While the crypto analyst did not provide the official source on the Solana investigation, the announcement has caught the attention of most investors. As of this report, the Crypto Bitlord’s X post had more than 600k views.
“If what we heard is true, start praying for Solana,” the crypto analyst noted.
Meanwhile, the crypto analyst highlighted that most investors will be caught by surprise due to the denial aspects. Moreover, the crypto analyst has in the past tarnished the reputation after successfully raising $5 million for the MOLLY project, which later plummeted in a rug pull version.
What Next for Solana Ecosystem
If the rumors of a Solana case go public in the near term as true, the Ethereum network is slated to benefit significantly. Notably, the US SEC publicly disclosed that it had dropped investigations into Ethereum.
The US SEC has already approved several spot Ethereum ETFs, with the listing anticipated anytime soon.
The Solana ecosystem could face a similar fate as Ripple-backed XRP, which has been under multi-year consolidation since the onset of the SEC-led lawsuit.
Market Picture
The crypto analyst has opined that SOL price could easily drop below $10 again if the rumored case goes public. Already, SOL price has dropped over 20 percent in the last two weeks to trade around $127 on Monday.
The large-cap altcoin, with a fully diluted valuation of about $73 billion and a daily average traded volume of around $2.5 billion, has been trapped in a correction mode in the past three months.
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