Solana has suffered a price dip following a “major outage” on its blockchain. Currently, SOL is priced at $94, falling from $96.3 before the outage.
The move has led to significant migration of traders from Solana to other crypto projects, with the Bitcoin Minetrix ICO emerging as a viable alternative.
Major Outage Sparks Concerns About Solana’s Long-Term Potential
Solana, often dubbed an “Ethereum killer,” is in hot water after its first network outage since February 2023.
The network’s system status page shows a “major outage” in the mainnet beta cluster, with the website explaining, “Engineers from across the ecosystem are investigating an outage on mainnet-beta.”
The Solana Status X page updated the community, stating that engineers are “readying a new validator software release, which includes a patch to address an issue which caused the cluster to halt.”
In an updated tweet, the account explained that the update is ready and that validators can now upgrade and restart.
Data from Stakewiz shows that 35.354% of the network stake has restarted the cluster, and once 80% have restarted, then the blockchain will resume.
The outage has caused applications on the network to halt, with Solana’s leading DEX Jupiter explaining that perp traders are “unable to adjust their positions or open new ones.”
This highlights the risk of Solana’s outage, with many traders likely now facing substantial losses due to the network’s subsequent volatility.
Marc Zeller highlighted this in a responding tweet, suggesting that with DeFi, “no block means no possibility of liquidation, which equals zero failsafe to prevent bad debt forming.”
He summarized by stating, “No serious DeFi protocol can be on a network that can’t process liquidations.”
However, some analysts hold a more balanced outlook on the repercussions. QW explains that the market is reacting more negatively to Solana’s outage than to 51% attacks on altcoins in 2018-2020.
According to QW, a network outage is less detrimental, which signals that the crypto market is maturing.
Meanwhile, Alyo snubbed the ongoing bearish sentiment, saying there was not “as much noise when Arbitrum, Base, and zkSync went down last year.”
Alyo views the market’s reaction as “hate on Solana” rather than a rational response to the outage.
Regarding what this could mean for the Solana price, trader One Intent noted a trendline support breakdown that occurred days ago. The severity of the recent debacle could further the detrimental effect, causing SOL to plummet.
Jelle also highlighted that the outage comes as Solana trades at a key horizontal support level. However, the trader believes this could “take out a few lows” before a sweeping rebound.
Still, Solana’s trajectory is under significant threat after facing its first network outage in almost one year. With that in mind, traders seek solace in other cryptos, with competing Ethereum layer 2 tokens Arbitrum, OP, and Metis all in the green today.
Another emerging alternative is Bitcoin Minetrix, an Ethereum-based cloud mining protocol enabling users to earn BTC rewards effortlessly.
Here’s Why Bitcoin Minetrix Could Be the Best SOL Alternative
Some market participants lack the appetite for ICO projects, viewing them as “too risky.” However, as seen with Solana, the same can be said for even the largest cryptocurrencies.
With this in mind, the emerging presale Bitcoin Minetrix looks to break the mold. The project provides a transparent and secure solution to Bitcoin cloud mining.
Users can stake their native token ($BTCMTX) in its Ethereum-based platform. In return, they receive Bitcoin mining credits, which they can burn for cloud mining power, which translates to free Bitcoin.
This process enables anyone to get started with cloud mining, free of the complexities and upfront cost requirements of traditional Bitcoin mining.
Furthermore, Bitcoin Minetrix solves the riddles of cloud mining security, a prevalent issue for earlier cloud mining solutions.
The Bitcoin Minetrix whitepaper highlights that earlier solutions would lure investors with attractive gains but would present “unwarranted complexities” once they deposit more funds, leading to significant losses.
On the other hand, no cash changes hands on Bitcoin Minetrix. It is based on a Stake-to-Mine model, secured by the decentralized $BTCMTX token and Ethereum smart contracts.
Market participants can buy $BTCMTX for $0.0133, but this price will increase as the presale advances. The next uptick will occur in just over three days.
