 ▲ Solana (SOL) / AI-generated image © |
Amid extreme fear sweeping across the broader cryptocurrency market, high-beta asset Solana (SOL) has plunged helplessly to the $77 range. Intense sell-offs far exceeding the decline of market leader Bitcoin (BTC) have poured in, pushing even key support levels to the brink.
According to CoinMarketCap on February 23 (local time), Solana fell 8.61% over the past 24 hours to $77.81. This drop was significantly steeper than the overall cryptocurrency market capitalization decline of 4.73% and Bitcoin’s 5.06% fall during the same period. The sharp downturn reflects Solana’s high-beta nature, as it reacts more sensitively to the market-wide risk-off sentiment.
The CoinMarketCap Fear & Greed Index currently stands at 14, indicating a state of Extreme Fear. With no positive internal catalysts within the Solana ecosystem to provide support, overwhelming macro-driven fear has dominated the market, accelerating capital outflows alongside deleveraging.
Technical indicators also confirm strong bearish momentum. Solana’s price has fallen below both the 7-day simple moving average (SMA) of $84.03 and the 30-day SMA of $95.72, reinforcing its downward structure. Although the 14-day Relative Strength Index (RSI) has entered oversold territory at 36.24, no signs of a rebound have emerged. Instead, 24-hour trading volume surged 35.78% to $2.78 billion, underscoring firm conviction behind the selling pressure.
In the near term, price direction will depend on whether Bitcoin stabilizes and whether Solana can defend its recent swing low support at $68.69. If Bitcoin regains stability above the $64,000 level, Solana is likely to consolidate between $70 and $84 while forming a base. However, if volume-backed declines break through the $68.69 support, there is a substantial risk of a sharp سقوط toward the psychological threshold of $60.
In conclusion, Solana is facing severe headwinds as the broader market downturn converges with its own technical weakness. To ease short-term downward pressure, reclaiming the 7-day SMA level at $84 is crucial. Investors should closely monitor Bitcoin’s trajectory and the durability of the $68.69 support level as top priorities.
Disclaimer: This article is for investment reference only and the publisher is not responsible for any investment losses incurred based on it. The content should be interpreted for informational purposes only.