Solana (SOL) Takes Major Hit – Is This the Start of a Bearish Move Toward $200?

Solana's foundation cracks as selling pressure mounts.

Technical Breakdown

The SOL chart shows clear distribution patterns—large holders are quietly exiting positions while retail investors scramble. Key support levels evaporated faster than a meme coin's utility.

Market Psychology

Fear spreads through crypto Twitter like a blockchain fork. Traders who chased the last pump now face the brutal mathematics of leverage liquidation. The $200 level looms as both psychological barrier and potential profit-taking zone for shorts.

Institutional Perspective

Hedge funds that piled in during the ETF hype now recalculate risk models. Another reminder that in crypto, fundamentals sometimes matter less than whale wallets and leverage cascades.

As always, the market proves Wall Street's 'risk management' teams are just expensive lagging indicators.

Solana Price Dips Again

Solana price failed to stay above $250 and started a fresh decline, like Bitcoin and Ethereum. SOL traded below the $240 and $232 support levels to enter a bearish zone.

The bears even pushed the price below $220 and the 100-hourly simple moving average. A low was formed at $207 and the price is now consolidating losses below the 23.6% Fib retracement level of the downward MOVE from the $254 swing high to the $207 low.

Solana is now trading below $220 and the 100-hourly simple moving average. Besides, there is a key bearish trend line forming with resistance at $222 on the hourly chart of the SOL/USD pair.

If there is a recovery wave, the price could face resistance NEAR the $215 level. The next major resistance is near the $220 level or the trend line. The main resistance could be $230 or the 50% Fib retracement level of the downward move from the $254 swing high to the $207 low.

A successful close above the $230 resistance zone could set the pace for another steady increase. The next key resistance is $242. Any more gains might send the price toward the $250 level.

More Losses In SOL?

If SOL fails to rise above the $222 resistance, it could continue to move down. Initial support on the downside is near the $207 zone. The first major support is near the $202 level.

A break below the $202 level might send the price toward the $200 support zone. If there is a close below the $200 support, the price could decline toward the $184 support in the near term.

Technical Indicators

Hourly MACD – The MACD for SOL/USD is gaining pace in the bearish zone.

Hourly Hours RSI (Relative Strength Index) – The RSI for SOL/USD is below the 50 level.

Major Support Levels – $202 and $200.

Major Resistance Levels – $215 and $222.