SOL Price Action: Numbers Tell a Brutal Story
From a purely analytical standpoint, SOL’s recent breakdown is hard to ignore. Over the past 30 days, Solana is now down over 30%, while Bitcoin has lost roughly 10-12% in the same period. On a year-to-date basis, SOL has erased most of its previous gains, shedding billions from its market capitalization.
Daily trading volume surged more than 60% above its 30-day average during the sell-off, a classic signal of panic-driven liquidation. Historically, such volume spikes tend to accompany either trend reversals or continuation moves, depending on broader sentiment.
Technically, SOL has lost multiple high-timeframe support zones that traders had defended throughout 2024 and early 2025. The breakdown below long-held consolidation levels confirms a bearish structure, with momentum indicators still pointing downward.
How Solana Is Performing Against Bitcoin
One of the most concerning signals for analysts is Solana’s relative weakness against Bitcoin. The SOL/BTC pair has dropped roughly 20% in the past six weeks, suggesting that investors are rotating capital away from higher-risk altcoins and back into Bitcoin or stablecoins.
In previous market cycles, Solana typically outperformed Bitcoin during bullish phases. This time, however, the opposite trend is playing out, reinforcing the idea that the market is firmly in a risk-off mode.
On-Chain Data: Usage Strong, Price Weak
Despite the price collapse, Solana’s on-chain fundamentals paint a more nuanced picture. Daily transaction counts remain elevated, consistently averaging tens of millions of transactions per day, far higher than most competing Layer-1 networks.
Active wallet addresses have declined modestly down approximately 8–10% month over month but remain well above bear-market lows from previous cycles. This suggests users haven’t abandoned the network, even as traders dump the token.
However, total value locked (TVL) across Solana-based decentralized finance platforms has fallen sharply, down an estimated 25% over the last month, reflecting capital flight rather than reduced usage.
Liquidations and Leverage Fueled the Drop
Derivatives data shows that leverage played a major role in accelerating SOL’s decline. In the past 24 hours alone, hundreds of millions of dollars in long positions were liquidated across major exchanges. Funding rates flipped decisively negative, signaling that short sellers are now in control.
Historically, Solana has been particularly sensitive to leveraged trading. When price momentum turns bearish, forced liquidations tend to amplify downside moves faster than in lower-beta assets like Bitcoin.
Key Levels Analysts Are Watching
From a statistical perspective, traders are focused on several critical zones:
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Immediate support lies in the low-to-mid $70 range, an area associated with previous high-volume trading activity.
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Next downside risk opens if SOL fails to hold that zone, potentially exposing another 10–15% drop.
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Resistance now sits near former support around the $90-$100 range, which would need to be reclaimed to invalidate the bearish setup.
Momentum indicators such as RSI remain near oversold territory, but not yet at extreme historical bottoms suggesting downside pressure could persist.
What This Means for Investors
For short-term traders, volatility remains extremely high, with wide intraday price swings creating both opportunity and risk. Long-term investors, meanwhile, are split. Some view the current levels as a deep-value entry based on network activity and long-term adoption trends. Others argue that macroeconomic uncertainty and declining liquidity could keep SOL under pressure for months.
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