Solana Adopted ZK Compression to Speed Up Its Network, Unveiling New Possibilities for App Developers

Solana made tools to lower the financial and computational costs of launching apps, collections, or other on-chain actions. To speed up its network, it also adopted ZK compression.

Solana made changes to lower the financial and computational costs of launching apps, collections, or other on-chain actions. The network now supports direct ZK compression, eliminating the need for L2 scalable solutions.

This move marks a departure from Ethereum, which constructs L2 for information storage. Instead, Solana will compress data on L1, ensuring that only the confirmed hashes of events—not the actual events themselves—are posted to the blockchain. The compression will alleviate state bloat and streamline app development.

The ZK compression update coincides with a decline in the ZK token price, which is currently trading at $0.1672, down 0.64% over the past 24 hours.

ZK Token Price Analysis

The Relative Strength Index (RSI) for ZK remains above 50, indicating a trend of higher lows, while the Moving Average Convergence Divergence (MACD) is positioned above the signal line, suggesting a positive rebound for the zkSync cryptocurrency market.

The bullish sentiment is further reinforced by the positive green hues observed in the MACD histograms. zkSync price may continue to attract buying if it closes steadily above 0.2595, setting the stage for a sustained uptrend.

The next critical levels of resistance for buyers to watch are 0.3500 and 0.4446. The market may continue its recovery towards its all-time high price of 2.9700.

ZK Token Poised for a Bullish Run Despite Recent Airdrop Sell-Off

As of this writing, there is a predominant bearish sentiment towards the zkSync token price. The cryptocurrency market has largely exhibited a bearish outlook in light of the recent zkSync airdrop and the active selling of ZK tokens by the asset's holders.

However, the broader market trend for ZK tokens appears to be bullish, with experts predicting that the price of ZK tokens will rise in the near future.

According to CoinCodex's estimate, the price of zkSync may increase by 231.97% and reach $3.47 by July 17, 2024. The price of the zkSync coin is predicted to vary from $1.044768 to $5.00 in 2025, meaning that if it reaches the higher prediction, it may rise by 2,168.94% from its current value.

The projected price range for zkSync by 2030 is $2.71 to $4.39, suggesting a potential increase in value of 1,891.90% over its current level.