Solana (SOL) At Risk of Falling Below $110 After 38% Plunge

5 months ago 21

March 12, 2025 by Bena Ilyas

SOL has plunged 38% in 30 days, dropping below $120, with bearish momentum threatening a fall under $110.

Coinglass data shows $27.3M in liquidations, with SOL hitting $114, falling below its $134 realized price since May 2022.

Solana’s revenue plummeted 93% to $4M, while DeFi TVL halved to $6.38B, reinforcing bearish sentiment.

Solana (SOL) has faced significant selling pressure, recently plunging below $120—its lowest level since February 2024. Over the past 30 days, it has declined more than 38%, reinforcing bearish momentum. With sellers in control, SOL now faces crucial support levels, while any recovery requires breaking key resistance zones.

The broader cryptocurrency market is experiencing a downturn due to global trade tensions. Additionally, President Trump’s Executive Order to establish a Strategic Bitcoin Reserve has unexpectedly disappointed crypto traders. It has led to a sharp decline in Solana’s price, along with decreased on-chain metrics. Despite a short-term recovery, SOL is at risk of dropping below $110.

SOL Drops Below Realized Price Amid Volatility

Over the past 24 hours, SOL has faced mixed dominance between buyers and sellers. Data from Coinglass reveals $27.3 million in total liquidations, with $15.7 million from buyers and $11.6 million from sellers. Amid this volatility, SOL plunged 15% to $114, marking the first time it fell below its realized price of $134 since May 2022.

The realized price represents the average cost basis of all last-moved coins. With SOL trading below this level, the average holder is facing losses, signaling a bearish indicator that could trigger panic selling. Furthermore, Solana’s revenue has plummeted by 93% to $4 million, the lowest since September 2024.

Solana remains under strong bearish pressure, recently falling below $114. With buyers struggling to prevent further decline, SOL now targets a drop below key Fib channels. Currently, Solana trades at $127, up 6.56% in the past 24 hours.

Can SOL Hold Above $110?

Solana’s decentralized applications (DApps) revenue also declined significantly, dropping by 86% from $238 million in January to $32 million by March 2025. Additionally, the total value locked (TVL) in Solana’s DeFi ecosystem has halved, plunging from a January peak of over $12 billion to $6.38 billion, according to DeFiLlama.

Solana’s Exponential Moving Averages (EMA) suggest continued bearish pressure, with short-term EMAs positioned below long-term EMAs. If SOL attempts a rebound, it may face strong resistance at $130 and $135. A breakout beyond these levels could push prices toward $152.9, potentially extending gains toward $179.85.

However, if selling pressure persists, SOL could retest support levels at $115 and $112. Failure to hold these could trigger a deeper decline below $110 for the first time since February 2024. Until key resistance levels are reclaimed, Solana’s downtrend remains intact, with a potential correction below $100 still on the table.

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