What effects did Friday’s flash-crash have on altcoin prices? Today we specifically examine the prices of Solana, Cardano, and Dash.
The effects have been significant, in some cases even sensational, but at least a rebound is already underway.
Crypto Analysis: The Impact of the Crash on Solana, Cardano, and Dash
Among all the altcoins, Solana might be the most interesting one to examine right now.
Currently the price of SOL, just below $200, is 15% lower than it was seven days ago, but on Friday it had dropped below $175.
Before the flash-crash, it seemed relatively stable around $220, then within an hour it had already dropped to $210.
That drop did not stop, so much so that six hours later it also fell below $200 following Trump’s statements, triggering the forced liquidation of many long positions which led to substantial automatic sales that significantly and quickly increased the buying pressure, causing the price to fall.
Note that, with the exception of some specific exchanges, the largest loss was 22%, which is a decline that is not entirely exceptional for the crypto markets.
It was a significant drop, noteworthy, at times frightening due to the speed at which it occurred, but overall in line with previous similar cases.
It should be remembered that altcoins are still speculative assets, therefore more prone to similar fluctuations.
When then, yesterday, the news spread that in reality there was probably no actual escalation of the trade war between the USA and China, there was an initial rebound above $180, followed today by another towards the $200 mark.
The current figure is above the bottom of September 25th, and is perfectly in line with the levels of early September. Therefore, it is not concerning, and in fact suggests that the rebound might not even be completely over yet.
The Effect on Cardano (ADA)
For Cardano, the discussion seems overall quite similar.
As of today, it is down 15% compared to seven days ago, just like Solana, and it experienced a crash on Friday that was quite similar in many ways.
The real difference is that Solana first lost 22%, then made an initial immediate rebound attempt that failed within a few hours, and then returned below $75 even on Saturday.
Instead, Cardano appears to have lost almost 60% of its value during the flash-crash, but then the first rebound was already successful. The big difference lies here.
Before the crash, the price of ADA was around $0.81, and with that dramatic -60% in seven hours, it even briefly dropped to $0.33. However, in the following hour, it had already climbed back above $0.6, and four hours later it was at $0.67.
On the other hand, the speculative nature of Cardano is greater compared to that of Solana, so it is subject to even greater price fluctuations.
Today there was the second rebound, or the continuation of yesterday’s, with the price returning to almost $0.72. This is a level in line with the August bottom, but still lower than, for example, the $0.80 at the beginning of September.
Dash’s Response
Dash is an even more speculative crypto than Cardano.
Just consider that its current price is even 96% lower than the all-time highs of 2017, and during the last major bull run of 2021, it didn’t even manage to rise above -70% from the highs.
Moreover, in December 2024, even though it briefly rose above $70, it always remained at least -94% from the all-time highs.
That said, it seems to have not even experienced significant effects from Friday’s flash-crash.
In fact, its price was limited to dropping from $45 to $32, with a -27% in seven hours, which is, for example, in line with the -22% of SOL.
However, later on Saturday, it had already climbed back above $40, and even yesterday it rose above $50, reaching a local peak at $59.
The psychological barrier of $60 has not been breached, but it should be noted that between August and September it was practically always below $25.
Therefore, despite everything, it is holding up the particularly favorable period for Dash, even though it is still just a speculative rebound, considering that, for example, last December it even surpassed $70 for a brief moment.