$SOL
Solana ($SOL) Faces Bearish Pressure
Solana is trading around $123.65, down 12.3% from its monthly peak and roughly 48% below its September high. Recent price action and on-chain metrics suggest the token could face further downward pressure.
Network Activity Weakening:
The total value locked (TVL) in Solana-based DeFi protocols has fallen to $23.8B, down from $35.1B in September.
Protocol fees have dropped from $31M to $8M, indicating lower user engagement.
These trends point to reduced network activity, which may be weighing on investor demand.
ETF Inflows Cooling:
Spot Solana ETFs initially attracted $199.2M during their first week, but inflows have slowed sharply to $13.1M last week. This slowdown hints at weakening institutional interest, which could also impact retail sentiment.
Technical Overview:
On the weekly chart, Solana is forming a large double top pattern, a classic bearish reversal signal. The price is testing the neckline near $120, and a confirmed break below this level could open the door to further declines. Momentum indicators like MACD and RSI are trending downward, reinforcing the bearish bias.
If Solana fails to hold $120, the next support lies at the April low of $95, a key floor for the year.
Current Price: $123.65 (−0.29%)