Finance

Algorithm Predicts +65% Price Surge in Solana (SOL) Price Following Shopify Integration

08/25/2023
Bitcoin Ethereum News
Algorithm Predicts +65% Price Surge in Solana (SOL) Price Following Shopify Integration

 Key takeaways

  • Solana climbs 7.3% after unveiling that Solana Pay will be integrated with Shopify
  • The 3-month SOL price prediction algorithm expects a 65% price increase to mark a new yearly high
  • The price prediction would mean that SOL rises more than 400% and reclaims its pre-FTX collapse price level

Solana integrates with Shopify to bring crypto payments to millions, SOL climbs 7% after announcement

On 23rd August 2023, Solana unveiled a new partnership with Shopify that will enable millions of eCommerce stores to take payments using Solana Pay. Solana Pay supports USDC payments, which enables merchants to gain a low-cost alternative to traditional payment systems without any market volatility.

Josh Fried of Solana Foundation referenced the 1.5%-3.5% credit card fee as a primary reason why Solana can become a leading payment network for online businesses, according to a recent article from TechCrunch. Fried stated that, in comparison, Solana Pay is almost “fee-free”.

Payment fees on the Solana network averaged $0.000284 (0.000013404 SOL) during the network’s most recent epoch. This fee remains relatively constant regardless of transaction size, which can save businesses a significant amount each year in credit card processing fees.

The move to integrate Solana Pay with Shopify led to a 7.3% price increase for SOL in the hours after the announcement was made, as it’s expected to boost demand for the network. After a bullish reaction to the news, SOL retraced 6.29% and is now resting on its original price level as support.

Algorithm predicts 65% price surge for SOL over next 3 months

Continued ecosystem developments for SOL are expected to bring more demand for the native token. With SOL now extending its utility beyond the confines of Web3 and enabling millions of Shopify stores to accept crypto payments, online businesses could begin to promote SOL as a faster and cheaper method of paying for goods and services.

The CoinCodex price prediction algorithm is anticipating some explosive price action for SOL over the next 90 days. The 3-month prediction for SOL forecasts a 65% upward move that breaks through key resistance at the previous yearly high, forming a peak above $40.

The algorithm anticipates that the upcoming surge will mark the top for SOL in 2023. If SOL reaches its price target, it will have climbed more than 4x from its yearly open price.

The bottom line: SOL could rise by more than 400% during 2023, a strong reaction to its 2022 decline

SOL was one of the worst performing cryptocurrencies in the aftermath of the FTX collapse, owing to Sam Bankman-Fried’s strong backing of the project and the cascade effect from the bankruptcy of his two companies: FTX and Alameda Research.

Despite the bearish sentiment surrounding SOL at the end of 2022, it spent less than 6 days at the sub-$10 price level. This could be an indication of strong demand after its retrace. For reference, SOL has now spent the majority of 2023 above the $20 price level and rapidly reclaimed this level each time it fell below.

Ongoing project developments could mark the beginning of a new era for Solana. The Shopify integration in itself promises far-reaching after effects, with millions of businesses and many more consumers now having the option to use the network’s high-performance payment system in exchange for retail goods.

Source: https://coincodex.com/article/31610/algorithm-predicts-65-price-surge-in-solana-sol-price-following-shopify-integration/