Solana (SOL) is under renewed pressure, with macroeconomic concerns—especially U.S. tariff tensions—shaking investor confidence. After a sharp move down, SOL is now trading around $154.50, reflecting a 3.76% swing in the past 24 hours.
Bearish Momentum Builds as SOL Breaks Trend
SOL had previously shown resilience with higher lows, but that momentum has faded. The token dropped from $156.74 to $154.86 within an hour, slipping below its mid-April uptrend channel.
This drop suggests that bullish support is weakening. The recent move also breaks the ascending trend SOL had been following for weeks.
Derivatives Show Clear Downside Pressure
Futures data highlights growing bearish sentiment:
- Open interest in SOL futures is down 2.47% to $7.19 billion.
- Long liquidations spiked to $30.97 million, a sign that leveraged bulls are getting squeezed.
- Short liquidations remain minimal, further confirming downside bias.
These indicators suggest traders are betting on further weakness in the short term.
Institutional Support Remains Strong
Despite the dip, institutional backing for Solana is still robust. Notably:
- Circle recently minted $250 million in USDC on Solana, boosting on-chain liquidity.
- Solana now processes 34% of all stablecoin volume, reinforcing its dominance in the sector.
- The launch of SOL Strategies’ $1 billion validator fund signals deep confidence in the network’s scalability and long-term potential.
This mix of short-term bearish price action and long-term support highlights Solana’s unique position in the market.
Technical Recap: Key Levels and Trends
Solana is currently trading within a tight range of $152.33 to $158.06, after a notable 5.73-point swing. Here’s what else the chart tells us:
- Earlier, SOL saw bullish volume, peaking at $158.06 during the 19:00 hour.
- Selling pressure intensified overnight, with a steep fall between 01:53–01:54, where 74,000 units traded rapidly.
- The trend has since shifted to lower highs and weaker volume, pointing to fading momentum.
- SOL is consolidating at $154.50, but unless buying volume improves, the downside risk remains.
