Solana (SOL) declined more than 9% in the past 24 hours, extending its weekly downtrend by over 21%, according to reports from AMBCrypto. The primary driver of this decline was a major sale by Forward Industries, a significant Solana treasury holder. As reported by Lookonchain, Forward Industries deposited 455,784 SOL worth approximately $32 million into Coinbase Prime after a month of inactivity. Their 6.83 million SOL position, valued at $459 million, represents a significant reduction from their previous holdings of $1.59 billion, indicating they bought high at an average price of $232 per token.
Adding to the selling pressure, whale traders were actively shorting SOL with significant leverage. According to AMBCrypto reports, whale Ansem shorted SOL with 20x leverage for a position worth more than $205K, with the order sitting at an unrealized profit of 253%, equivalent to $26K. The synchronization of selling among institutions and whales, who typically drive prices, indicated weak market conditions. Additionally, Solana was targeting its massive downside liquidity between $43 and $65, with liquidation leverage of more than $3.50 billion at the $59.75 level alone, suggesting more downside was expected.
The technical analysis reveals that SOL has broken below a four-month low, losing the neckline of a head-and-shoulders pattern after rallying to a four-month peak of $97, as reported by AMBCrypto. A retest of the breakdown level at $82 confirmed a shift in the market structure, with SOL now trading at its lowest level since February after hitting $65. The MACD indicator shows bears are in control with mild momentum, while social sentiment is declining significantly, with interactions falling from 10.577 million to around 836.7K, representing a 92% decline in two weeks. The current SOL market cap stands at $41 billion, with the current price at $64.75 per SOL, showing a 6.38% decline in the last 24 hours.
Despite the current bearish sentiment, SOL still commands a significant trading volume of about $5 billion, though it is down by 3% according to AMBCrypto reports. The next bullish structure is around $20 on the daily chart, suggesting SOL may be just starting its decline. The combination of institutional selling, whale shorting activity, and technical breakdown patterns indicates potential for further downside movement, with the current price action consistent across major cryptocurrencies including Bitcoin, Ethereum, and Ripple. The SOL calculator shows current value at $64.75 USD, reflecting the ongoing market volatility and technical breakdown patterns that continue to pressure the token.
