Key Takeaways
- Solana’s SOL fell about 9% in the last 24 hours and is at risk of testing the $120 support level.
- A head-and-shoulders pattern on the daily chart suggests bears remain firmly in control.
Solana Drops 9% Amid Broader Market Downtrend
SOL, the native token of the Solana ecosystem, declined roughly 9% in the past 24 hours and may trend lower over the coming hours and days. At the time of writing, SOL slipped below $130 and appears poised to test the $120 support level if the downtrend continues.
Solana’s weakness comes as bearish pressure grips the wider crypto market. Bitcoin, the largest cryptocurrency by market cap, declined as geopolitical tensions in the Middle East intensified, which weighed on market sentiment across spot and derivatives markets.
Heightened geopolitical risk and escalating rhetoric have added volatility. As Bitcoin moved lower, key altcoins including Ether and SOL experienced declines as traders reduced exposure to risk assets.
SOL Could Test $120 Support
With the broader market in a downturn, sellers control the SOL/USD pair. The 4-hour chart indicates that SOL may face additional selling pressure in the near term.
At the time of publication, SOL was trading around $128.60. If the current downtrend persists, SOL may soon test the next support zone at $120. A sustained decline could push SOL toward $100 for the first time since April.
Technical indicators reinforce the bearish view. The MACD sits deep in negative territory, signaling seller dominance, while the RSI for SOL/USD is near 34, reflecting strong downward momentum.
If market conditions improve and buying interest returns, SOL could first attempt to reclaim liquidity near $148. A move back to the second resistance around $165 appears unlikely without a broad market rally.