Alphractal - Crypto Research | ꘜSolana reduced its risk in the last drop, but could it still have room to fall further?
Maybe yes. Even though SOL quickly dropped below $100, risk analysis shows it hasn't yet reached extreme levels in metrics like the Sharpe Ratio and NMR (Normalized Metric Risk).
This is because Solana's rally in 2024 was so strong that long-term risk analysis suggests better opportunities might arise at lower levels.
However, during bull cycles, it's common for many of these opportunities to never materialize.
To confirm strength, SOL must hold the $100 support — if it loses it again, that would be a bad sign and could trigger a new wave of pessimism.
For example, ETH currently has a better risk-reward profile than SOL and BNB. This is due to ETH's poor performance in 2025.
Use risk metrics to balance your risk appetite across timeframes, influencing your results.
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