On 19 June, Solend Protocol, a DeFi community used for borrowing and lending crypto-assets similar to Solana [SOL], was hit by a liquidation disaster. The disaster got here round as a result of fears of liquidation that will hit Solana decentralized exchanges if the whale that had deposited 95% of Solend’s whole SOL pool bought liquidated.
Since makes an attempt to contact the whale fell via, customers of Solend voted in assist of a proposal to
“enact special margin requirements for large whales that represent over 20% of borrows and grant emergency power to Solend Labs to temporarily take over the whale’s account so the liquidation can be executed OTC.”
A have a look at the SLND token
As the remainder of the cryptocurrency market recorded features over the past 24 hours, the Solend Network’s native token – SLND – was up for some losses. Trading at $0.6645 at press time, the alt’s value registered a 4% decline. A 39.51% decline in buying and selling quantity was additionally noticed.
With the alt off 96% from its all-time excessive of $16.72, current occasions counsel that the token is likely to be on its technique to the underside.
At press time, the Relative Strength Index (RSI) was pegged at 17.84. This recommended that higher distribution of SLND tokens by present holders was underway.
A have a look at the MACD confirmed that the continuing bear run, which began in May and has been additional aggravated by the occasions of 19 June, could be extended.
Thanks to a downward intersection of the MACD line, the uncertainty about what’s to grow to be of the community, and the overall bearish outlook of the market, the bulls’ palms will likely be tied for a whereas longer.
A fast have a look at SOL?
Interestingly, SOL fared significantly properly over the past 24 hours. Despite the frenzy, the worth of the altcoin was in a position to rally by 18% throughout the buying and selling session on 19 June. At the time of writing, with an index value of $32.16, the crypto had recorded a 9% uptick in value.
However, on-chain information revealed that a correction is likely to be underway. Especially with the bearish sentiment within the final 24 hours being as excessive as 154% whereas bullish sentiment trailed behind with 76%.
Following the backlash that trailed the primary proposal, Solend, within the early hours of 20 June, announced a new proposal – SLND2. With SLND2, in mild of “criticisms about SLND1” and with the worth of SOL steadily rising, Solend proposed to invalidate the final proposal, improve governance voting time to in the future, and work on a new proposal that doesn’t contain emergency powers to take over an account.
At the time of writing, 95.4% had voted to assist this proposal.