Solana has experienced a 6.5% decline, falling to around $70, marking its most oversold monthly level ever and significantly below its previous high of over $260. The decline follows a recent rally from $62 to $75.60, but strong selling pressure emerged as liquidation clusters formed between $74 and $76, creating significant resistance that prevented further upward movement. According to latest technical analysis, support is now positioned near $65–$66, with a break below $70 potentially risking a drop to June lows around $62 and possibly $60. Despite the price decline, Solana recently set a new single-day record for tokenized stock trading, showcasing strong real-world adoption driven by its fast, low-cost blockchain network. This divergence between a beaten-down price and growing usage presents a potential buying opportunity for long-term investors who can tolerate volatility.
The crypto market experienced a severe sell-off, wiping out over $578 million in leveraged positions as Bitcoin, Ethereum, Solana, XRP, and BNB posted steep losses amid a broad risk-off move. According to CoinGlass data, $496 million of the liquidations came from long positions, with the market showing heavy tilt toward bullish positions before prices broke lower. The sell-off triggered sharp deleveraging across major assets, with open interest declining across all major cryptocurrencies as traders rushed to cut risk exposure. Among the major tokens, HYPE posted the steepest decline at 11.26%, while ZEC was down 9.74% and SOL lost 7.19%, suggesting the correction extended beyond Bitcoin and Ethereum to higher-beta altcoins.
Solana's decline was significantly influenced by the Federal Reserve's new chair Kevin Warsh, who emphasized inflation control and refrained from providing rate guidance. Analysts now see a 70% chance of a rate hike by September, with a one-in-three chance of a 50 basis points increase. The latest market crash occurred alongside broader cryptocurrency weakness, with the total cryptocurrency market capitalization down roughly 4% to $2.24 trillion. SOL's current price of around $70 marks its most oversold monthly level ever, highlighting the severity of the recent correction and the potential for further downside before any recovery.
Bitcoin fell 5.15% to $62,624.1, leading the broader crypto market decline despite recording the highest 24-hour volume at $80.52 billion, up 63.19%, showing sharp increase in trading activity during the sell-off. Bitcoin open interest dropped 5.52% over 24 hours to $46.27 billion, while 1-hour open interest fell 1.04%, suggesting leveraged BTC positions were rapidly closed. Ethereum dropped 5.08% to $1,687.24, extending the market-wide correction with $51.82 billion in 24-hour trading volume, up 38.69%. Ethereum open interest declined 2.46% over 24 hours to $24.38 billion, with the largest single liquidation order occurring on Binance ETHUSDT valued at $7.40 million.
Kraken Chief Data Officer Kamo Asatryan emphasized the company's focus on simplifying access to blockchain-based assets by reducing complexity associated with gas fees and fund movement across networks. According to the company, many of the newly available assets are not listed on conventional trading platforms, representing a significant expansion beyond traditional exchange listings. The launch comes just days after Kraken introduced perpetual futures trading for eligible customers in the United States, available on Kraken Pro and operated through Bitnomial, the derivatives platform Kraken recently acquired. The initiative broadens Kraken's derivatives offerings in the US market, allowing perpetual futures to be traded alongside spot, margin, and traditional futures contracts within a single account under a CFTC-regulated framework.
