- Solana fell to lows of $125 amid a sharp crypto sell-off.
- The decline in SOL’s price raises the risk that bulls could see the token test the $100 threshold.
- Spot Solana ETFs continue to record inflows despite the downturn.
Solana faced heavy pressure over the past week, dropping to around $125 after an 11% decline in the last 24 hours.
The sell-off reflects broad weakness across digital assets, as Bitcoin’s retreat—driven by a rise in overall risk aversion—spread into the altcoin market.
By the evening of Friday, November 21, CoinMarketCap data showed no cryptocurrencies among the top 100 trading in positive territory, underscoring the depth of the correction and the short-term lack of risk appetite.
Injective, Dash and NEAR were among the worst performers, while Ethereum, XRP and Solana suffered double-digit losses.
Ethereum fell below $2,700 and XRP under $1.90.
Why Solana’s Price Is Dumping
Solana’s sharp slide toward the $125 area reflects a wider market pullback driven by a mix of macroeconomic headwinds and a clear technical breakdown.
One key trigger was renewed uncertainty about upcoming interest rate decisions from the U.S. Federal Reserve.
Bitcoin, the sector’s bellwether, plunged to lows near $82,000, dragging altcoins like Solana into the sell-off.
Market data shows 24-hour trading volume for SOL rose 42%, topping $9.63 billion.
Rising volume alongside falling prices suggests panic selling as markets reacted to developments ahead of the next FOMC meeting.
Expectations for a December rate cut fell sharply, to about 31% probability.
The shift followed a Bureau of Labor Statistics announcement that the October jobs report would not be published and that the November report would be released only after the FOMC decision, leaving policymakers and investors without two key labor data points at a critical moment.
According to Lark Davis, this move means Fed Chair Jerome Powell “will walk into the FOMC meeting blind.”
That uncertainty has made markets jittery, with investors increasingly betting the Fed will err on the side of caution and keep rates unchanged.
SOL ETFs See Inflows Despite Price Drop
Despite falling prices, spot Solana ETFs continued to attract inflows. Data indicate that investor demand persisted even as SOL declined.
On November 20, while spot Bitcoin ETFs recorded over $903 million in outflows and spot Ethereum ETFs saw more than $260 million redeemed, Solana remained positive.
According to SoSoValue data, investors added $23.6 million of new flows into SOL ETFs, bringing net inflows to more than $499 million.
The key question is whether ETF-backed demand for Solana can translate into a sustainable tailwind for bulls.
If prices continue to fall, the major support area to watch would be the psychological $100 level.