Solana’s price has been in a downtrend since mid-September, as network activity continues to slow. The cryptocurrency is down more than 50% from its September high of $252.78 and 52.4% from its all-time peak.
At press time, Solana trades around $139.75, with a market cap of $77.4 billion and a 24-hour trading volume of $6.85 billion, down 20% over the past day.
The altcoin’s decline followed a broader market sell-off in September, sometimes called “Red September,” which affected many cryptocurrencies.
Investor concerns over inflation, changing interest rate expectations, and global economic uncertainty—including potential tariffs proposed by U.S. President Donald Trump—have also reduced appetite for riskier assets.
On-chain data shows total value locked (TVL) in Solana-based DeFi protocols fell to $25.8 billion from $35.4 billion in mid-September.
The network’s stablecoin supply also dropped nearly 20% from its October high, now around $13 billion. Declining TVL and shrinking stablecoin reserves suggest capital is steadily leaving the Solana ecosystem.
Even the launch of multiple U.S. spot Solana ETFs from Bitwise, Grayscale, VanEck, and Fidelity has not provided immediate upward pressure on the price, despite nearly $420 million in inflows since launch.
Technical analysis shows Solana forming a large bearish rounded top pattern on the daily chart. This dome-shaped pattern often signals fading momentum and potential further losses.
Additionally, a death cross may occur soon, with the 50-day moving average approaching a crossover with the 200-day moving average—a historically bearish indicator.
Analysts say Solana could drop to $120, a key support level. If this level fails, the price may fall further to $95, matching lows seen in April 2025.
