Solana (Sol) Hits Lowest Level In 2.5 Years As $88 Million In Longs Get Liquidated

What Happened

Long Liquidations Account for 94% of the Damage

Active Addresses Have Fallen Since February

The leverage flush did not happen in isolation. Solana network usage has been declining steadily, which points to weaker underlying demand.

Market Context

Solana (SOL) dropped to its lowest price since December 2023 this week, sliding toward $68 as more than $88 million in leveraged positions were wiped out across the market.

The market liquidated $88.45 million in SOL positions over 24 hours, according to Coinglass data. Of that total, $83.53 million came from long positions against just $4.91 million in shorts.

That split means bullish traders accounted for roughly 94% of the losses. The data also shows 12,084 traders liquidated worldwide as SOL volatility passed 12% on the day.

The 90-day comparison makes the move stand out. The long liquidation spike near $84 million was the tallest reading on the entire chart, and it landed exactly as the price collapsed toward the lows.

This matters because price held a consolidation range between $78 and $95 through spring, while usage kept falling. That divergence often warns that a sideways market lacks real support. The recent break toward fresh lows followed the same pattern flagged in earlier unstaking analysis.

Crowd attention tells a similar story. Social volume has trended lower, with the latest reading down at 39, near the bottom of its three-month range.

Social dominance gained briefly in mid-May when SOL staged a short bounce, yet it has since rolled over to 0.687. The token now commands a smaller share of overall crypto conversation.

The pattern is telling. Bursts of chatter did not put a floor under price, and each spike in attention was sold into rather than bought. Fading interest leaves little fresh demand to defend support.

Price has lost the 0.786 Fibonacci retracement at $73.31, turning former support into resistance. It was also rejected at the long-term resistance zone around $100, a shelf that previously acted as support in early 2024.

Weekly volume has been declining throughout the descent, which signals thin conviction behind every rally attempt. The weekly RSI has rolled into bearish territory, confirming weak momentum on the highest timeframe.

At the time of writing, Solana traded near $68.53, down about 9% over 24 hours, with a market cap close to $39.6 billion at rank seven.

Why It Matters

Long traders absorbed almost all of the damage. On-chain activity and social interest had been weakening for months before the breakdown, which suggests the selloff reflected fading demand rather than a single shock.

Details

Daily active addresses peaked near 5.5 million in early February, according to Santiment. The metric now sits around 2.91 million, roughly half the February high.

Social Interest Fades as Rallies Get Sold

SOL Weekly Chart Confirms the Breakdown

The weekly chart ties the data together. SOL closed the latest candle near $68.46, down almost 17% on the week, its lowest level since December 2023.

For now, all four data sets point the same direction. A rebound in network usage and steady spot demand would offer the first evidence that selling pressure is starting to ease.

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