Solana Has Dropped To Historically Oversold Levels – It’s Worse Than FTX Levels
Solana (SOL) has formally entered deep oversold territory, a degree analysts say is worse than the one the cryptocurrency reached throughout the FTX collapse. A decline on this space highlights simply how bearish the market has turn out to be after months of volatility and steep worth declines. Throughout final 12 months, Solana skilled a large rally that pushed its worth firmly above $200. However, now the cryptocurrency has spent most of 2026 buying and selling between decrease ranges round $60 and $95. Given the poor efficiency, a crypto analyst is questioning whether or not SOL may have finally hit a bottom.
Solana RSI Hits Oversold Levels Beyond FTX Crash
According to an in depth worth chart shared by market professional Ash Crypto, Solana’s month-to-month Relative Strength Index (RSI) has dropped to 38.84, under the sign line sitting close to 48.86. The analyst famous that this studying exhibits the altcoin has reached oversold levels much more excessive than these recorded when FTX collapsed into chapter 11 in 2022, and SOL fell to a low close to $8.
The undeniable fact that the RSI is now decrease regardless of the value being considerably larger than the 2022 $8 backside means that the momentum decline in this cycle has been unusually extreme. From a technical standpoint, extended oversold readings on the month-to-month RSI can sign a potential price reversal, reflecting vendor exhaustion. However, oversold situations can persist for a very long time, as a low RSI alone doesn’t affirm {that a} cryptocurrency has reached its backside.
Given the uncertainty around Solana’s future price direction, Ash Crypto is questioning whether or not the struggling altcoin has lastly discovered a worth flooring. If a backside has been reached, it will indicate that almost all merchants who wished out have doubtless exited the market, leaving solely holders who’re dedicated to Solana long-term. This form of capitulation usually sets the stage for a recovery, as there may be little or no promoting strain left to disrupt the market.
Notably, after Solana dropped to the $8 backside in 2022, the cryptocurrency eventually rallied to over $270 in 2025, representing a large 3,000% restoration. While a confirmed backside on this cycle doesn’t assure the identical scale of positive factors, traditionally, property that hit a worth flooring with RSI readings have a tendency to supply vital rallies.
What It Means If SOL Has Yet To Reach A Bottom
On the flip facet, Ash Crypto acknowledged in his evaluation that Solana’s price has fallen to a three-year low of $60 after plunging greater than 80% from its 2025 all-time high. The analyst famous that cryptocurrency has posted eight consecutive pink month-to-month candles for the primary time in its historical past, highlighting the depth of its bearish pattern.
At the second, there isn’t any sign on SOL’s chart that definitively confirms a backside or an imminent worth reversal. This is as a result of Solana remains firmly in bearish territory, which implies its RSI can keep oversold longer than anticipated. If a worth flooring has not been reached, it means that SOL nonetheless has room for additional draw back, doubtlessly pushing the cryptocurrency under its present degree close to $60.
