Solana Faces Major Crash Risk as Market Downturn Intensifies
Solana’s price is facing intense pressure as the broader crypto market experiences a sharp downturn.
The latest market shock came after new tariffs were announced, fueling bearish sentiment and driving SOL’s value lower. As Solana hovers near a crucial support level, analysts warn that a major collapse could be imminent.
Over the past 24 hours, Solana’s price has dropped by 15%, reaching a monthly low of $116.35. This decline marks a 61% fall from its all-time high set just two months ago. Despite being one of the top cryptocurrencies, Solana’s momentum has weakened, largely due to waning interest in meme coins and increased market volatility following the tariff news.
Interestingly, trading volume for SOL has spiked by 135% to $6.69 billion, suggesting heightened investor activity as they brace for the token’s next move. However, the breaking of the crucial $120 support level has heightened fears of a deeper crash. Some crypto analysts, including XO, predict that if the current trend continues, Solana could plunge to $90 or even lower. The formation of a bearish triangle pattern on the chart has intensified these concerns, with some projecting a drop to as low as $58.
READ MORE: Uniswap DAO Moves Forward with $113M Treasury Delegation Program
While the outlook appears bleak, there is still a chance of recovery. If Solana can reclaim the $118 support, it could enter an accumulation phase, potentially setting the stage for a longer-term rise toward $1,000. Analysts believe that positive regulatory news, such as an SEC approval of a Solana ETF or official acknowledgment of Solana holdings by the U.S. government, could boost investor confidence and reverse the downtrend.
For now, caution remains key. Market experts advise monitoring macroeconomic developments and keeping a close eye on Solana’s support levels. The ongoing bearish sentiment makes it crucial for investors to stay vigilant as the situation unfolds.
Alexander Stefanov
Reporter at CoinsPress
Alex is an experienced finance journalist and a cryptocurrency and blockchain enthusiast. With over five years of experience covering the industry, he deeply understands the complex and constantly evolving world of digital assets. His insightful and thought-provoking articles provide readers with a clear picture of the latest developments and trends in the market. His passionate approach allows him to break down complex ideas into accessible and insightful content. Follow up on his content to be up to date with the most important trends and topics - stay ahead of the curve with CoinsPress.
