Solana ETF Surge Diminishes as Graphs Indicate Possible 20% Decline
SOL surged by 5% following announcement of the Solana ETF before relinquishing those gains. The excitement in the crypto space is a capricious companion, much like a Florida man under the influence of bath salts: erratic, captivating, and somewhat endearing.
Currently, SOL is hovering around key token supply and buyer interest areas; its subsequent direction is uncertain as traders evaluate fleeting momentum against stronger price floor.
Solana ETF-Driven Spike Encounters Immediate Pushback
The ETF news initially reignited excitement around Solana, leading to a temporary price increase of 5%. However, this surge met swift barrier level at the $160 threshold, which aligns with a notable H4 (4-hour) circulating supply zone.
At this stage, one mustfeel sympathy for SOL holders. It raises questions about whether last cycle’s altcoins are consistently slow movers:
The ones that surged 10x before are unlikely to replicate that.
Altseason favors those who identify new themes, not those who pursue outdated ones.
— VirtualBacon (@VirtualBacon0x) July 1, 2025
The area where SOL currently resides is essentially absorbing buying interest, causing SOL to retreat back into the $144.5–$147.7 range.
As per the latest analysis from 99Bitcoin, Solana’s movements were anticipated, as it responded to the circulating supply zone by attracting long positions before reversing direction.
Essential Base level and Resistance Levels Post-Solana ETF Update
SOL is holding onto a vital range between $144.5 and $147.7. Should SOL break through this base level, the next line of defense is significantly lower, around $124 or approaching the psychological level of $100.
A $100 SOLbefore the release of GTA 6 was not on our list for 2025.
Bulls are targeting $160. If they can break and close above that level, bullish conditions could quickly return.
While Bitcoin treads close to its all-time highs, SOL and several other altcoins are trailing behind, burdened by a risk-averse attitude and a broader market that is yearning for Fed interest rate reductions and quantitative easing.
The price movement remains confined within a descending channel stemming from May’s unsuccessful $180 breakout. Each recovery attempt seems fleeting for SOL, and momentum remains weak.
What Lies Ahead for SOL?
Insights from Glassnode suggest that the true threat for SOL exists beneath the support level. If $144 does not long-term holding, there isn’t much to mitigate the decline.
The sparse order book between $100 and $124 could rapidly transform a downturn into a sharp fall. Bulls must maintain their position.
At present, BTC, the constant crypto market influencer, will likely determine whether SOL rebounds or continues to decline. Maintaining this range may trigger a recovery, but losing it could plunge the price back into despair.
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Key Insights
- SOL climbed 5% on the back of Solana ETF news only to retract those gains.
- While BTC hovers around ledger highs, SOL and its altcoin counterparts are lagging, pulled down by a risk-averse mindset and a broader trading market apprehensive for Fed interest rate decreases and quantitative easing measures.
The article Solana ETF Rally Fades as Charts Signal Potential 20% Drop first appeared on 99Bitcoins.
