TLDR

  • SOL touched $80.29 as its recent low following a breakdown through $88 and $85 price levels
  • The hourly chart shows a bearish trend line positioned at $85.50, creating immediate upside resistance
  • Last week brought $24 million in net ETF inflows to Solana products, though the final two sessions showed withdrawals
  • Derivatives Open Interest climbed 1% to reach $5.01 billion, while $15.52 million worth of long positions faced liquidation within 24 hours
  • RWA wallet counts show Solana ahead of Ethereum, though Ethereum maintains dominance with $15.5 billion versus SOL’s $1.8 billion in tokenized asset value

Solana experienced significant downward pressure throughout the past week, reaching a bottom at $80.29 before mounting a modest recovery attempt. Current price action continues below the $85 threshold and under the 100-hour simple moving average.

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Solana (SOL) Price

This decline came after SOL failed to maintain levels above $90. The asset subsequently breached both the $88 and $85 support zones before finding a temporary bottom around $80.

Technical analysis reveals a bearish trend line currently positioned at $85.50 on the hourly timeframe. This level represents the primary near-term resistance barrier. The 50% Fibonacci retracement level from the recent decline appears at $87.20, while more substantial resistance awaits at $88.80.

A successful move above $88.80 would open the door to potential targets at $95 and possibly $102. Conversely, a breakdown below $80 would bring support zones at $72 and subsequently $65 into play.

Monday’s trading session saw SOL gain approximately 2% following four consecutive days of declines. The overall trend structure continues to show bearish characteristics, with price action remaining beneath the 50-, 100-, and 200-day exponential moving averages.

The Relative Strength Index currently reads 43, positioned below the 50 neutral threshold. Meanwhile, the MACD histogram displays contraction, suggesting weakening upward momentum.

Solana ETF Activity Displays Conflicting Patterns

Approximately $800 million in SOL currently sits within US spot Solana exchange-traded funds. As of Friday, cumulative net inflows reached $957 million, indicating institutional participants maintained their positions through the recent price decline.

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Source: SoSoValue

The previous week delivered $24 million in net inflows. However, the closing two trading sessions registered outflows totaling $5.23 million and $8.23 million.

Market analysts attribute these late-week withdrawals to wider market stress connected to escalating oil prices and heightened geopolitical uncertainty.

SOL derivatives Open Interest increased 1% over 24 hours, reaching $5.01 billion. The funding rate showed improvement, moving from -0.0161% to -0.0006%, reflecting diminished bearish sentiment among derivatives traders.

During this same timeframe, total liquidations reached $19.79 million. Long positions accounted for $15.52 million of these forced closures.

RWA Wallet Adoption: Solana Moves Ahead of Ethereum

Solana now counts 154,942 wallets containing tokenized real-world assets, surpassing Ethereum’s 153,592. This marks the initial instance where Solana has exceeded Ethereum in this particular measurement.

This expansion stems primarily from retail participants purchasing tokenized equity in companies such as Tesla and Nvidia via Solana’s cost-efficient infrastructure.

Ethereum maintains superiority in total tokenized RWA value with $15.5 billion compared to Solana’s $1.8 billion. Additionally, Ethereum hosts 663 tokenization initiatives against Solana’s 345 projects.

Major financial institutions including BlackRock and Fidelity deploy Ethereum for offerings like tokenized Treasury securities and money market instruments. While Solana has attracted certain institutional deployments from BlackRock, its RWA ecosystem remains predominantly retail-focused.

The immediate support level for SOL appears at $78.35, representing the final significant floor before $67.50, which corresponds to the February 6 low point.