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Solana Ecosystem Coins Nearing Record Highs Despite Market Dip

Published March 15, 2024 2:57 PM
Valdrin Tahiri
Published March 15, 2024 2:57 PM

Key Takeaways

  • The SOL token and assets in the Solana ecosystem have performed admirably in 2024.
  • PYTH and JUP are two new coins that have recently reached record price highs.
  • Will PYTH and JUP be affected by the performance of the Solana network moving forward?

Today, Binance announced  that it has completed the integration of its Web3 Wallet with the Solana network. Among the assets drawing attention within the Solana ecosystem are PYTH and JUP, who recently reached new all-time highs.

As PYTH edges closer to its resistance trend line, investors speculate on the likelihood of a breakout. Similarly, JUP’s correction prompts consideration of its future trajectory. Will these tokens leverage Solana’s momentum to carve out significant gains?

Will PYTH Price Finally Break Out?

PYTH launched in November 2020 and immediately increased to $0.55. After a 40-day correction, the price began an upward movement in January 2024 that is still ongoing. Since then, it has increased by 160%, culminating with an all-time high of $0.95 on March 13.

The price action shows that PYTH has made five unsuccessful breakout attempts (red icons) above an ascending resistance trend line. The most recent rejection the happened the day of the all-time high.

PYTH Price Follows Resistance
PYTH/USDT Daily Chart: Credit – TradingView

The MACD and RSI are both still bullish. Both indicators are trending upward and neither has generated bearish divergence. This allows for the possibility that PYTH will continue increasing and reach the resistance trend line again. The trend line is currently at $1.03.  Conversely, the closest support area is at $0.67.

In any case, the upward movement cannot accelerate until the PYTH price breaks out above this trend line.

Total Value Secured Across OraclesTotal Total Value Secured: Credit: DeFiLlama

A look at the Total Value Secured for all first-party oracle platforms shows that Pyth Network  is already fourth on the list. It is impressive that an Oracle network whose token launched less than four months ago already secures $5 billion in value and has more than 8% of the market share. In contrast, Chainlink, the largest Oracle network with 46% of the market share launched in 2017.

What’s Next After JUP All-Time High

JUP is another new token in the Solana ecosystem that launched in February 2024. It is the native token of Decentralized Exchange aggregator Jupiter, whose airdrop was met with much fanfare and generated $450 million in six hours.

JUP has trended upward since February 12, culminating with a new all-time high price of $1.05 earlier today. However, the wave count suggests it’s possible that JUP has completed its five-wave increase. If true, it has now started its correction, which can end between the 0.382-0.5 Fib retracement support levels at $0.74 – $0.82.

JUP Price Reaches All-Time High
JUP/USDT Daily Chart: Credit – TradingView

The MACD and RSI align with this prediction. The RSI is trending downward while the MACD has just made a bearish cross (red icons). Additionally, there is a bearish divergence developing (green line). These align with the bearish short-term outlook.

After the correction is complete, JUP can resume its long-term bullish trend toward a new all-time high.

PYTH And JUP Can Flourish This Cycle

With SOL gradually approaching its all-time high and receiving considerable attention from the crypto community, it is possible that other coins in its ecosystem will grow.

PYTH and JUP are well positioned to do so because of their price action, narratives and fact that they are both new assets.

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