Key Takeaways

• With Solana whales selling off their SOL, the price may drop to $120 if the $155 support fails.

• Despite a 10% crash in the last 24 hours, Solana’s network volume remains strong at $3 billion.

• Trading below the 50-day and 200-day EMAs raises concerns for bulls as bears take control of the price.

The price of Solana has decreased by over 10% in the last 24 hours, breaking below the key support level of $165. Market uncertainties, including liquidity drain from various rug pulls, suggest a potential decline to the $150-$130 support zone.

Current market sentiment is bearish after weeks of uptrend, as whales and institutions may seek to buy altcoins at lower prices. Big wallet holders of Solana are selling their SOL, which may further push the price down toward $150-$130, where some stability may be found.

Solana (SOL) Market Sentiment

Source – Solana DEX Trading Volume From SolanaFloor on X

Despite uncertainties causing sell-offs, Solana DEX maintains the highest trading volume among networks like Ethereum and Binance Smartchain, surpassing $3 billion. Memecoins heavily contribute to Solana’s volume, and their sell-offs could negatively influence the price.

Source – Solana Active Addresses by Ali_charts on X

Analyst Ali_charts notes a significant drop in Solana active addresses from 18.5 million in November 2024 to 8.4 million today, indicating that over 10 million addresses are offloading SOL, leading to price declines.

Source – Long-term Solana holders by Ali_charts on X

Long-term Solana investors are increasingly anxious as current price trends affect their holdings amidst market uncertainty.

Solana (SOL) Price Analysis As Bears Dominate Price

Source – SOL 1D Price Chart From TradingView

Solana currently trades bearish on the daily chart, below the essential 50-day and 200-day EMAs, with potential to decline toward $130-$120 if the $155 support is lost. Recent sell-offs by whales and memecoin rug pulls have impacted the market liquidity.

Overall, market sentiment for Solana’s price prediction remains bullish, viewing the current downturn as temporary. If the market stabilizes, prices could potentially rally to $500 or more before the end of 2025.