Helium Moving To Solana Causes Negative Market Reaction And HNT Price Plunge

1 min read

It just seems there is so much happening in Crypto land right now. And here we go again.

So HNT wants to move to Solana and ditch their own blockchain. Listen, the wisest people in the world do what is happening here right now. It’s not a ditch. It’s a transition, folk. We all know Solana is a good blockchain and if the folk over at HNT realize they can do so much more on an even better blockchain, then why on earth not?

Sometimes people just get all upset and think things are going to crash instead of making rational decisions. HNT moving could be a fantastic choice for them and everyone selling and distributing, driving the price down … are just doing everyone else a favor – and helping them buy into Crypto at a really good price.

It’s totally possible that it’s only up from here, baby. 🙂

An Important Update!

The Helium Foundation published a proposal on 30 August, that informed users about an important update. The foundation stated the intentions of the Helium core team to migrate to the Solana [SOL] blockchain.

Although voting on the proposal was scheduled to commence by 12 September, the price of HNT immediately declined by 11% within the next 24 hours following the proposal’s publication.

HNT Heavily Distributed

On 7 August, HNT was trading hands at $3.84 and was up by a mere 0.1% in the last 24 hours as per data from CoinGecko. However, the alt witnessed a decline of 31.4% in the last seven days and by approximately 58% over the last 30 days.

Trading at its February 2021 level, HNT has steadily declined in price since November 2021. As of 7 September, HNT was 93.08% shy of its all-time high of $55.22, clinched on 12 November 2021.

On a daily chart, investors were spotted heavily distributing their HNT coins. As a result of the proposal, many have been left with doubts about the future of the network.

To forestall any further losses, HNT tokens have been increasingly distributed in the last week. At press time, the coin’s Relative Strength Index stood at 26, far below the neutral 50 region. The Awesome Oscillator (AO) too flashed all red bars below the zero line.

Source: TradingView

HNT Social Dominance Rose And Fell Again

Following the publication of the proposal, HNT garnered some social traction. This pushed its social dominance to rise by 100% over the two days following.

After peaking at 0.58%, HNT’s social dominance has since embarked on a steady decline. As of 6 September, this figure stood at 0.2315%, having dropped by over 150% in the past four days. The coin’s social volume also rose to a high of 402 on 1 September, after which it declined by 75%.

Interestingly, despite the significant decline in price in the past seven days, on a 7d MA, the coin’s weighted sentiment posted a positive value of 0.66.

Source: Santiment

Percentage Of Coin Supply Held By Whales Falling

With a continued drop in the price of HNT, the percentage held by whales of the coin’s total supply has fallen consistently.

Source: Santiment mvp-post-tags

Originally published here


Chris Munch

Chris Munch is a professional cryptocurrency and blockchain writer with a background in software businesses, and has been involved in marketing within the cryptocurrency space. With a passion for innovation, Chris brings a unique and insightful perspective to the world of crypto and blockchain. Chris has a deep understanding of the economic, psychological, marketing and financial forces that drive the crypto market, and has made a number of accurate calls of major shifts in market trends. He is constantly researching and studying the latest trends and technologies, ensuring that he is always up-to-date on the latest developments in the industry. Chris’ writing is characterized by his ability to explain complex concepts in a clear and concise manner, making it accessible to a wide audience of readers.