Solana (SOL) Under Pressure Despite ETF Inflows as Traders Watch $110 Support Zone
Solana (SOL) has entered the ultimate stretch of 2025 below sustained strain, caught between a weakening worth construction and indicators of regular institutional curiosity.
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Following a pointy 39% decline within the fourth quarter, SOL is struggling to regain momentum, buying and selling within the low-$120 vary as merchants deal with whether or not key assist ranges might be sustained. The distinction between falling community exercise and continued inflows into funding merchandise has left the market divided on what comes subsequent.
While ETF-linked demand suggests confidence in Solana’s longer-term relevance, near-term worth motion stays fragile. With liquidity thinning towards year-end and broader crypto sentiment nonetheless cautious, SOL’s capacity to defend decrease assist zones could form how the market opens 2026.
Solana Network Slowdown and Bearish Technical Signals
One of the primary pressures on SOL has been a pointy drop in on-chain exercise. The variety of energetic customers on the community decreased from roughly 30 million in late 2024 to below a million in This fall 2025, leading to a decline in payment income and weakening demand for the token.
This slowdown has coincided with a broader market pullback, as the full crypto market capitalization slipped towards $2.9 trillion and traders withdrew almost $1 billion from digital asset funding merchandise in a single week.
Technically, momentum indicators stay tilted to the draw back. SOL has posted a destructive MACD studying and an RSI under impartial ranges, whereas repeated failures to reclaim the $126–$130 zone have triggered lengthy liquidations.
Analysts warn {that a} lack of the $120 space may expose SOL to a deeper transfer towards $110, a degree more and more cited as a essential draw back marker.
ETF Inflows Highlight Institutional Divergence
Despite weak worth motion, Solana-linked exchange-traded merchandise have continued to draw capital.
Recent data present greater than $69 million in internet inflows, setting SOL aside from Bitcoin and Ethereum merchandise, which have seen internet outflows. This divergence suggests some institutional traders are accumulating at decrease costs, even as short-term merchants stay defensive.
Market watchers be aware that this hole between fund flows and spot worth displays differing time horizons. Institutions look like targeted on Solana’s function as infrastructure for funds, tokenization, and high-throughput purposes, whereas the spot market stays constrained by technical resistance and declining retail exercise.
Cross-chain Developments and Key SOL Levels Ahead
Adding to the narrative, latest feedback from Charles Hoskinson and Anatoly Yakovenko have reignited dialogue round interoperability, with each founders signaling openness to a future cross-chain bridge between Solana and Cardano.
While nonetheless early and casual, such developments highlight ongoing efforts to broaden liquidity and utility throughout ecosystems.
Traders at present stay targeted on worth ranges quite than long-term imaginative and prescient. Holding above $120 may stabilize sentiment, however a transparent break under it might possible shift consideration firmly to the $110 assist zone.
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Until SOL reclaims resistance close to $130 with conviction, worth strain is more likely to persist regardless of the regular drumbeat of institutional inflows.
Cover picture from ChatGPT, SOLUSD chart from Tradingview
