Solana co-founder Anatoly Yakovenko answered questions about how long we will be in a bear market.
Anatoly Yakovenko says the bears will be on stage for a while
The Solana Labs co-founder predicts that the current bear market will continue for another 12 to 18 months. Speaking on the GM Podcast, Anatoly Yakovenko linked his expectation to the Fed rate hike, which affects the macroeconomic environment. However, as seen in other bear markets, he predicts that projects focused on construction during this brutal period will eventually succeed:
Looking at macro events, my guess is that these brutal Fed interest rates are headed for another 12 to 18 months. But it has an end. Just as in the last bear market, many groups focused on and resonating with the art market tried to create truly extraordinary works. I think many of these have been very dramaticly successful.
The Ukrainian-born computer scientist is not alone in anticipating a bear market where projects can boost themselves. Úrsula O’Kuinghttons, director of liaison and partnerships at Web3 Foundation and Polkadot, explained in an interview with Forbes that the “crypto winter” is a turning point as it brings more knowledgeable new players to the market:
The crypto market has fallen, but it will survive. We are at a turning point where new players in the ecosystem come to know more about the market… Developers will continue to develop Blockchain technology regardless of the market’s background.
How ready is Solana for the bear market?
While projects remained hopeful in the bear market, cryptocurrencies continued to be defeated. Solana’s native cryptocurrency, SOL, was no exception to this trend. Its price fell 80.4% year over year. Currently, according to the information from CMC, it sees the process at about $ 32.
In addition to the bear market, the SOL price has been shaken by ongoing technical problems. Solana suffered a valuable downtime, the last of which lasted about six hours. This event was the last of a series of outages. It also remains new since it happened last week.
The cuts brought much criticism to Solana’s setup and group. However, Solana continues to make remarkable progress thanks to its high throughput and low process prices. According to information recorded by crypto research platform Delphi Capital, Solana’s share in total NFT transaction volume rose from 7% to 24%. This nearly 3-fold acceleration was in just 6 weeks. In the middle, let’s point out that it left Ethereum behind in the same process.
Solana’s market strength is in contact with new projects emerging on its network. Additionally, the Solana ecosystem is home to the best performing projects in financing types. Koindeks.com As you follow, it is fair to state that this positive information is overshadowed by the cuts. SOL price takes a hit every time the network crashes, which worries investors and developers.