I asked ChatGPT to analyze Solana’s Q4, here’s what it predicted

by ChainChirp
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Disclaimer: The data introduced doesn’t represent monetary, funding, buying and selling, or different varieties of recommendation and is solely the author’s opinion.

Solana [SOL] has encountered difficulties in gaining a powerful foothold within the fiercely aggressive DeFi sector. To deal with this, the community carried out methods reminiscent of factors packages to draw a extra intensive person base.

Learn Solana’s [SOL] Worth Prediction 2023-24

Solana co-founder Anatoly Yakovenko not too long ago highlighted the shortage of correct regulatory frameworks as the most important problem for the blockchain trade.

He believed that one of the simplest ways to beat this roadblock was for regulators to implement a correct regulatory framework that might guarantee compliance.

SOL confirmed a minor value correction for the previous few days. At press time, it was buying and selling at $20.21.

Its value rose almost 30% following the information of Ripple [XRP] securing a partial victory in its authorized battle with the U.S. Securities and Change Fee (SEC) on 13 July. However it couldn’t preserve its value rally for lengthy.

The U.S. District Court docket of the Southern District of New York dominated in its judgement that the sale of Ripple’s XRP tokens on crypto exchanges and although programmatic gross sales didn’t represent funding contracts; therefore, it’s not a safety on this case. However the court docket additionally dominated that the institutional sale of the XRP tokens violated federal securities legal guidelines.

The crypto trade lapped up the judgement immediately, producing a value rally throughout tokens. However the cash couldn’t maintain the value rally.

Solana’s fame as an “Ethereum killer”

Whilst SOL is touted to be the “Ethereum [ETH] killer,” Solana Labs co-founder Anatoly Yakovenko appears to be in settlement with the concept of utilizing Ethereum as a layer-2 for the Solana blockchain.

Even Ethereum founder Vitalik Buterin is an admirer of the Solana protocol. When the SEC sued Binance [BNB] and Coinbase [COIN] in early June, it labeled a number of altcoins, together with SOL, as securities. Buterin rued the style by which the regulator is focusing on tasks like Solana.

Heading into 2023, SOL was hovering across the $10 help zone. It was already within the grips of a downtrend that stretched again to November 2021, again when SOL was buying and selling at $200.

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Simply as traders started anticipating additional losses throughout the crypto-market in January, Bitcoin [BTC] climbed previous $17k and shifted the shorter-term sentiment to bullish.

Solana benefited massively from this shift and recorded good points of 175% in 21 days. Nonetheless, it couldn’t breach the $26-$28 resistance zone, which has acted as help since June-November 2022.

We requested ChatGPT for its tackle the value, community well being, and the trajectory of Solana after giving it some related knowledge factors.

Can we coax ChatGPT right into a Solana value prediction?

ChatGPT has been a exceptional chatbot, and the updates of the previous month have made ChatGPT 4.0 fairly spectacular. It’s a highly effective software for studying and well-trained on an enormous array of subjects. But, we should keep in mind that the bot is engineered to imitate a human, and isn’t essentially assured to be factually correct.

The jailbreak model of ChatGPT would probably be much more inaccurate, as it’s particularly instructed to not say no to something the person requests.

And but, it’s doable to acquire some guesses from the chatbot on what the longer term may maintain if we offer it with particulars about latest value actions.

So, what does ChatGPT make of Solana? Does it see a path to restoration after its latest setbacks? Primarily based on transaction charges and transaction speeds, ChatGPT appears to suppose Solana shall be an Ethereum killer.

Supply: ChatGPT

We’re but to tell it of the challenges that Solana and SOL traders have confronted in latest months. Let’s begin with the most important dent in investor confidence –

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FTX, the place the free-fall started

Sam Bankman-Fried, aka “SBF,” was one of the crucial vocal proponents of the Solana community. The group noticed him as a reputable and sensible entrepreneur who was the CEO of one of many largest crypto exchanges, FTX.

Despite the fact that Binance reigned supreme by way of quantity and token pairs, FTX was giving it a run for its cash. Competitors can also be good for the trade and serves the shoppers.

Quite a bit has modified since then, and the SEC has charged Mr. Bankman-Fried with defrauding the fairness traders of FTX, additional alleging that he commingled FTX buyer funds with Alameda’s to make undisclosed enterprise investments. He faces over 100 years in jail if convicted on all counts.

Not solely has the fame of Solana taken successful, however the basis additionally offered a big quantity of SOL to FTX Buying and selling and Alameda Analysis. This amounted to 58.08 million SOL, or 11% of the circulating provide on the time FTX filed for chapter. It was valued at near $1.1 billion on the time.

As anticipated, the value of Solana nosedived in November and declined by 45% from November 11 to 31 December, falling from $18.08 to $8. With rumors of FTX’s insolvency circulating from November 5, SOL had already misplaced 50% the earlier week, when it was buying and selling close to the $38 mark.

This took SOL’s whole losses from 5 November 2022 to 31 December 2022 to 79.4%.

Solana ChatGPT

Supply: ChatGPT

ChatGPT actually sounds optimistic, and early 2023 went terribly properly for traders. And but, some community points cropped up, simply as they’d in 2022.

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SOL exceeded expectations in January and February 2023

From 1 January to twenty February, Solana gained 179.88% on the value charts and rallied from $9.69 to $27.12. The explosive rally has been credited partially to Bonk; a meme coin launched throughout the Solana ecosystem modeled after Shiba Inu.

Part of the full 99 trillion provide was airdropped into the wallets of Solana customers in December. The transaction count per day was on a downtrend within the second half of December, however this rotated in early January.

Quickly sufficient, the transactions had been choosing up tempo as soon as extra. The introduction of the enjoyable memecoin did a lot to deliver the group away from the darkish, miserable shadow the FTX debacle had solid on Solana.

When fed with on-chain knowledge and value motion in latest months, the jailbroken model of ChatGPT predicted a wild trip for Solana in This autumn. It says SOL will hit an all-time excessive (ATH) value of $600 on this quarter.

chatgpt solana

Supply: ChatGPT

The community has confronted troublesome outages in latest months, which could damage investor confidence. The chatbot agreed.

I asked ChatGPT what Solana investors can expect in Q2 2022 and the bot remained optimistic

Supply: ChatGPT

Predictions apart, what does value evaluation inform us about Solana?

A take a look at Solana’s on-chart metrics

chatgpt solana

Supply: SOL/USD, TradingView

At press time, SOL was buying and selling at $20.21. The cryptocurrency’s value rose greater than 3% during the last seven days.

However SOL’s Relative Energy Index (RSI) and Cash Move Index (MFI) rested beneath the impartial 50-level. Its On Stability Quantity (OBV), nevertheless, mirrored an uptick.

Is your portfolio inexperienced? Try the SOL Revenue Calculator

In conclusion, SOL’s on-chart metrics pointed in direction of bearish market sentiment on the time of writing.


Whereas ChatGPT predicts a wild trip for Solana this quarter, its efficiency has hardly been praiseworthy. It’s subsequently essential that merchants do their very own analysis earlier than investing in a crypto asset.

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