Solana Price Correction Risk and ATOM Update

By: Eliza Bennet

The founder of Cosmos, Jae Kwon, has called for a chain split following a community-approved cutback in ATOM's inflation from 14% to 10%. This news led to a small 3% drop in ATOM's value.

In other cryptocurrency updates, Solana (SOL) is expected to enter a larger degree correction phase. Previously, Solana saw a big rally that took the cryptocurrency above the $65 against the US Dollar. Currently, the price trend has started a downwards correction and there is speculation of it dropping below the $50 support level. This comes after a break below a short-term rising channel with a support near $58 on the SOL/USD pair's 4-hour chart.

Further losses are expected if Solana fails to recover above the $60 resistance, with the initial support on the downside near the $55 level.

When it comes to major cryptocurrencies like Bitcoin and Ethereum, Solana has shown vigorous bullish momentum which helped it outperform both of these renowned cryptocurrencies.