TLDR
- SOL touched $80.29 as sellers pushed through critical support zones at $88 and $85
- Resistance from a descending trend line at $85.50 limits recovery attempts on shorter timeframes
- ETF products saw $24M in weekly inflows, though the week concluded with consecutive outflow sessions
- Derivatives Open Interest climbed 1% to $5.01B, while leveraged longs suffered $15.52M in liquidations over 24 hours
- SOL now leads Ethereum in RWA wallet numbers, though ETH maintains dominance with $15.5B versus SOL’s $1.8B in actual asset value
Solana experienced significant downward pressure throughout the previous week, descending to $80.29 before mounting a modest recovery. The asset continues trading beneath $85 and remains under the 100-hour simple moving average at press time.
The decline materialized after bulls failed to maintain control above the $90 threshold. SOL subsequently breached both the $88 and $85 support zones before finding temporary footing around $80.
A downward-sloping trend line currently resides at $85.50 on hourly timeframes. This level represents the primary near-term barrier to upside movement. The 50% Fibonacci retracement from the latest selloff sits at $87.20, while more substantial resistance emerges at $88.80.
Should SOL reclaim territory above $88.80, subsequent upside objectives would include $95 and potentially $102. Conversely, a breakdown below $80 would expose support zones at $72 followed by $65.
On Monday, SOL posted approximately 2% gains following four consecutive sessions of decline. Nevertheless, the overarching trend maintains a bearish character. The token trades beneath its 50-day, 100-day, and 200-day exponential moving averages.
The Relative Strength Index registers 43, positioned below the neutral 50 threshold. The MACD histogram shows contraction, indicating diminishing bullish momentum.
Solana ETF Flows Show Mixed Signals
US-listed spot Solana exchange-traded funds currently maintain approximately $800M in SOL holdings. Aggregate net inflows reached $957M through Friday’s close, suggesting institutional participants largely maintained positions despite recent price weakness.
The previous week generated $24M in net inflows. However, the closing two trading sessions produced outflows totaling $5.23M and $8.23M respectively.
Market observers attribute the end-of-week redemptions to broader market headwinds stemming from crude oil price increases and escalating geopolitical uncertainties.
Open Interest across SOL derivatives markets expanded 1% during a 24-hour period to $5.01B. The funding rate improved from -0.0161% to -0.0006%, reflecting diminished bearish positioning among derivatives traders.
Despite this improvement, $19.79M in total positions faced liquidation within the same timeframe. Long positions accounted for $15.52M of these forced closures.
Solana Passes Ethereum in RWA Wallet Count
Solana now hosts 154,942 wallets containing tokenized real-world assets, surpassing Ethereum’s count of 153,592. This marks the inaugural instance where Solana has exceeded Ethereum in this particular metric.
The expansion stems predominantly from retail participants acquiring tokenized equity shares of corporations like Tesla and Nvidia via Solana’s economical transaction infrastructure.
Ethereum, nonetheless, maintains $15.5B in tokenized RWA value compared to Solana’s $1.8B. Ethereum additionally supports 663 tokenization initiatives versus Solana’s 345 projects.
BlackRock and Fidelity leverage Ethereum for offerings including tokenized Treasury securities and money market instruments. Solana has attracted certain institutional implementations from BlackRock, though its RWA sector remains predominantly retail-oriented.
SOL’s immediate support level rests at $78.35, representing the final significant floor before $67.50, established by the February 6 bottom.
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