Solana's tokenized real-world asset market hit a new peak of $4.80 billion while altcoins lost more than $200 billion in capitalization. Solana itself trades below its 200-day moving average, but traders are betting the RWA segment could limit the downside.
The market cap of tokenized real-world assets (RWAs) on Solana hit a new peak of $4.80 billion, even as the broader altcoin market sold off. Altcoins have lost more than $200 billion in total market capitalization.
Tokenized funds lead Solana's RWA growth
At the time of writing, tokenized funds led with $3.70 billion. Tokenized stocks followed at $1.10 billion, and commodities at $31.90 million.
Backpack CEO Armani Ferrante, whose platform tokenizes assets on Solana, stressed opening up the entire global stock market on the Solana mainnet. These figures are expected to grow even more in the long term. However, regulations remain a major hurdle, especially in the United States after Republicans lost control of both the House and the Senate.
Altcoins slip below the 200-day moving average
Over 70% of altcoins on Binance broke below the 200-day moving average, and that share is quickly approaching the 80% mark. At press time, Solana was trading at $89 with the moving average at $97.76.
SOL was 9.75% away from its 200-day MA at press time, a reading that indicated bears were in control of the market.
Macro pressure weighs on risk assets
Macroeconomic uncertainty has accelerated the altcoin weakness, especially after Republicans lost control of both chambers of the U.S. Congress. Additionally, the Federal Reserve, European Central Bank, and Bank of England raised interest rates this week, which discourages borrowing capital that would be used to invest in risk-on assets like alts.
Both Nasdaq and the S&P 500 also fell from their latest peaks. Between August and September, the altcoin cap rose by $320 billion, but it has since shed 62.5% of that gain.
Even so, traders are betting on the growing RWA market to help mitigate the downside risk. As a result, SOL could be an outlier while the general altcoin market is weak, though Bitcoin would also need to be bullish for more confluence.
Source: AMBCrypto
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