- Solana’s Solchat project has experienced a dramatic turnaround after months of negative performance.
- Massive inflows into marketcaps could signal the beginning of a rally.
Solchat Solana [SOL] The impressive performance of the native token is helping to make headlines for an ecosystem project. CHAT’s fortunes have been in a downward spiral for a long time, but recent performances indicate reversal.
CHAT reached a peak of $21.28 mid-March this year. It has been bearish since, although the selling pressure seems to have decreased in August. The 5th of August saw a new low for CHAT, which was $0.459
CHAT has dropped 97% since its highs.
In this month’s accumulation, the price reductions were a major factor. The bulls have returned with a vengeance as a result, leading to hefty gains.
CHAT had an excellent performance during the past seven days. During this time, it increased by 344% and reached a new high local of $2.77.
CHAT traded at $2.39 during the time of publication, a small pullback compared to its local recent high. At recent highs the bulls met resistance, which could indicate a cooling off.
Price was overbought on recent highs. This could lead to further downside potential if profits are taken.
Can CHAT Bulls continue the rally?
A longer-term uptrend is possible, if CHAT attracts more attention. Solchat’s rally in recent weeks could attract attention to this project.
This is one Solana protocol that offers a unique and intriguing use. It’s the first communication protocol based on blockchain that is decentralized and available through the Solana system.
Solchat is a communications protocol resistant to censorship that has been made necessary by the arrest of Telegram’s founder.
The uniqueness of its decentralized platform for chat on Solana and its first-mover advantage make it a strong selling point.
CHAT remains heavily discounted, despite recent rallies. The stock is still a far cry from its historical ATH. Therefore, the perception of it being undervalued may work in its favour.
Solchat’s market cap has risen by $15 million over the past few days. It now ranks among the top 800 of all projects.
In the last seven days, CHAT has been one of most popular cryptocurrencies. The fact that it was able to increase its market cap by over $15 million in a very short time period could be a sign of the beginning of its recovery.
In the next few months, CHAT may be poised for a strong rally.
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Source: ambcrypto.com