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Solana Registers $470 Million Selling in 3 days, Price Fell To $150

2 mins
Updated by Harsh Notariya
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In Brief

  • Solana faced a significant sell-off, with 3 million SOL tokens worth $468 million sold in just three days, as the price fell to $150.
  • The Chaikin Money Flow (CMF) indicates negative momentum, as outflows dominate inflows, suggesting continued selling pressure for Solana.
  • Currently trading at $156, Solana must maintain support at $154 to avoid further declines, with a possible recovery to $168 if it regains key levels.
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Solana has been facing a challenging period marked by low volatility and a lack of price recovery. Recently, the price of SOL dropped to $150, causing investors to lose confidence.

With market conditions remaining stagnant, many holders are opting to cash out rather than risk further losses.

Solana Investors Turn To Selling

Exchange balances reveal a concerning trend for Solana as about 3 million SOL tokens, worth over $468 million, were sold in just the last three days. This sell-off occurred following the Solana price fall last week as the altcoin slid to $150 during an intraday low. The market sentiment is increasingly bearish as investors look to secure their gains.

The fear of an extended decline has prompted many to liquidate their positions. This massive sell-off is signaling that investors are wary of potential losses.

Solana Exchange Balance.
Solana Exchange Balance. Source: Glassnode

The overall momentum for Solana has been largely negative, with key technical indicators supporting this outlook. The Chaikin Money Flow (CMF) is currently stuck below the zero line, indicating that outflows are dominating inflows. This suggests that there is more selling pressure than buying interest.

As long as outflows continue to outweigh inflows, Solana’s price could face additional pressure. The lack of positive market cues, coupled with the dominance of sellers, could lead to further declines in price.

Solana CMFSolana CMF
Solana CMF. Source: Glassnode

SOL Price Finds Support

Solana is currently trading at $156, holding above the key support level of $154. This level suggests that Solana still has some bullish potential, mainly due to its strong correlation of 0.75 with Bitcoin. If the broader market conditions improve, Solana could see a recovery in the coming days.

However, the pressure from recent sell-offs could drive Solana below the $154 support, causing a potential drop to $144. If this occurs, the bearish trend could extend, leading to further losses for investors. The increased selling pressure might push the price even lower, resulting in more negative momentum.

Solana Price Analysis.
Solana Price Analysis.. Source: TradingView

On the other hand, if Solana can reclaim the $161 support level, possibly with a bounce off the $154 support, the altcoin could rise to $168. This would mark a reversal in the current bearish outlook and signal a potential halt in the sell-off. A bounce at this level could lead to renewed investor confidence and put Solana back on a path to recovery.

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Disclaimer

In line with the Trust Project guidelines, this price analysis article is for informational purposes only and should not be considered financial or investment advice. BeInCrypto is committed to accurate, unbiased reporting, but market conditions are subject to change without notice. Always conduct your own research and consult with a professional before making any financial decisions. Please note that our Terms and ConditionsPrivacy Policy, and Disclaimers have been updated.

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Aaryamann Shrivastava
Aaryamann Shrivastava is a technical and on-chain analyst at BeInCrypto, where he specializes in market reports on cryptocurrencies from diverse sectors, including Telegram Apps, liquid staking, Layer 1s, meme coins, artificial intelligence (AI), metaverse, internet of things (IoT), Ethereum ecosystem, and Bitcoin. Previously, he conducted market analysis and technical assessments of various altcoins at FXStreet and AMBCrypto, covering all aspects of the crypto industry, including...
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