Where is the core strength of Solana’s post-disaster reconstruction in the aftermath of FTX?

Over the past two months, Solana Gas token SOL has doubled in price, growing significantly from a low of $17.74 in mid-September to around $63 in early November, with signs of recovery defying the expectations of many industry analysts.

Behind Solana's recovery this time, the main factor that plays a role is the external environment.

As of press time, the price of SOL has fallen back to around $58. After a short-term rise, Solana needs more ecological construction that can support the market value to truly achieve post-disaster reconstruction, and today's public chain environment is no longer as superior as the last one, and the market's focus has begun to shift to Ethereum Layer 2.

The shadow of FTX once again looms over Solana

In two months, the price of SOL tripled. During the same period, this growth rate was even much higher than the overall growth rate of the cryptocurrency market (30%). It is no exaggeration to describe it as bottoming out.

During this period, the U.S. court trial on the FTX incident was also ongoing, which also made SOL holders worried.

On November 2, after about four and a half hours of trial, a jury in Manhattan federal court found Sam Bankman-Fried (SBF), the founder of the once prosperous crypto exchange FTX, guilty of all charges. , guilty of seven counts of fraud and conspiracy. According to prosecutors, FTX’s hedge fund Alameda Research and SBF himself illegally misappropriated FTX client funds.

FTX’s crash occurred in early November last year. At the time, its liquidity crisis was exposed by a report from media outlet CoinDesk. It was estimated at the time that there was an $8 billion shortfall in FTX’s accounts, which ultimately led to the company filing for bankruptcy. Before the storm, FTX was the world's third-largest crypto-asset exchange by trading volume, with more than one million users.

After the building collapsed, the public chain network Solana also became one of the victims.

As a result, Solana's reputation was damaged due to its ambiguity with FTX, and applications and users fled one after another, falling into an unprecedented crisis. Currently, Solana has a market cap of $16 billion, while Ethereum has a market cap of $220 billion. #cpi #etf #cake #xrp #ETH $BTC $ETH $BNB