Solana’s December 2025 Inflection Point: Navigating Price Weakness Amidst Strong On-Chain Fundamentals
Despite facing significant selling pressure and a notable decline in the stock prices of associated treasury entities like Forward Technologies Inc. and SOL Strategies Inc., Solana's underlying blockchain health tells a story of resilience. Analyst Ted Pillows points to fading buyer interest as a primary driver of recent SOL price stagnation. However, a deeper look into on-chain metrics reveals that the current price weakness is not reflective of fundamental chain weakness or systemic issues, but rather a disconnect driven by external venture capital distress and market sentiment. The narrative pivots towards December 2025 as a critical potential inflection point. This period is highlighted as a key juncture where strong fundamentals, including robust network activity and developer engagement, could converge with technical support levels to catalyze a significant price rebound. The core question remains whether this key support zone will act as the springboard for SOL's recovery, allowing its solid operational performance to finally be reflected in its market valuation.
SOL Price Weakness Deepens Despite Strong Fundamentals: Can a Key Support Trigger a Rebound?
Solana's SOL token faces mounting selling pressure as treasury-linked entities like Forward Technologies Inc. and SOL Strategies Inc. see steep declines in their stock prices. Analyst Ted Pillows attributes recent SOL price stagnation to fading buyer interest, but on-chain metrics tell a different story—venture capital distress isn't chain weakness.
December 2025 emerges as a potential inflection point. Blockchain activity remains robust despite price action, with institutional flows and historical support levels suggesting latent resilience. "SOL treasuries making new lows just means VCs are underwater, not the chain," observes Fere AI, highlighting the disconnect between corporate holders and network fundamentals.
Solana Surges 11% Amid Short Squeeze as DeFi Metrics Flash Bullish Signals
Solana (SOL) rallied 11.75% to $141.92 as leveraged short positions faced $19.13 million in liquidations, triggering a cascade of buying across major exchanges. The move coincided with Bitcoin's 7.4% surge past $93,000 as total crypto market capitalization breached $3.15 trillion.
On-chain data reveals strengthening fundamentals: Total Value Locked (TVL) in Solana's DeFi ecosystem reached $9.12 billion, while daily active users hit 2.23 million. The network generated $4.34 million in daily application revenue, suggesting sustainable adoption beyond speculative trading.
Technical indicators turned bullish as SOL cleared its 50-day exponential moving average. The Relative Strength Index (RSI) at 63 leaves room for further upside, with traders eyeing $150 as a breakout level that could propel prices toward $170-$190.
Solana Price Prediction: Diminished Prospects for $300 Rebound as Market Shifts Toward Utility Assets
Solana's once-promising trajectory toward the $300 threshold has faltered, with the asset now languishing NEAR $140. Early 2025 momentum—when SOL traded between $270 and $295—has evaporated amid dwindling institutional interest. Kraken's projection model suggests a tempered outlook: $133 by end-2025 and $162 by 2030, far below previous euphoric targets.
The market's appetite is pivoting decisively toward tokens with tangible utility. Remittix exemplifies this shift, gaining traction through its payments infrastructure and fiat gateway—features that contrast sharply with Solana's speculative positioning. A Solana-linked ETP's 20-day outflow streak in November underscores the fading institutional confidence.
With $5 billion daily volume and $74 billion market cap, solana retains top-tier status. Yet the erosion of its $300 aspirations reflects a broader realignment—investors now prioritize yield-bearing mechanisms and real-world applications over pure network speculation.
Franklin Templeton Launches Solana ETF SOEZ with Memetic Appeal
Franklin Templeton, the $1.69 trillion asset manager, has entered the Solana ETF market with SOEZ—a product designed to capitalize on both institutional interest and Solana's meme-driven retail appeal. The move signals growing mainstream acceptance of blockchain-based investment vehicles.
The Solana ETF sector now holds nearly $1 billion in assets, with daily inflows exceeding $45 million. Franklin's scale and credibility may accelerate institutional adoption, though the cheeky ticker choice (SOEZ) acknowledges crypto's cultural undercurrents.
Market observers note the strategic timing: Solana's scalability advantages coincide with rising demand for crypto exposure beyond Bitcoin and Ethereum. The ETF's success will hinge on balancing institutional rigor with the irreverent energy that defines Solana's community.
