Solana Trades Sideways Near $154 Amid Tariff Concerns and Shaky Short-Term Sentiment
Solana (SOL) is moving sideways after slipping below its mid-April uptrend line, as short-term sentiment remains uncertain despite continued growth in stablecoin activity and validator interest.
Facing macroeconomic challenges, particularly renewed worries over tariffs, Solana is under pressure, with investor confidence showing signs of strain.
Currently trading around $154.50, SOL has been confined to a narrow range between $152.33 and $158.06 over the past 24 hours—a 3.76% price swing, according to CoinDesk Research’s technical analysis.
While previous higher lows suggested underlying strength, SOL dropped sharply from $156.74 to $154.86 within an hour, breaking below its ascending channel from mid-April.
Derivatives data reflects bearish sentiment, with open interest in SOL futures declining 2.47% to $7.19 billion. Meanwhile, long position liquidations surged to $30.97 million, highlighting pressure on leveraged bulls. Short liquidations remain low, underscoring a prevailing downside bias.
Despite these challenges, institutional confidence persists. Circle’s recent $250 million USDC mint on Solana has boosted liquidity and reinforced Solana’s position as a stablecoin hub, now handling 34% of all stablecoin volume on-chain. Additionally, SOL Strategies’ $1 billion validator fund signals ongoing long-term faith in the network’s scalability and infrastructure.
Technical Overview
- SOL traded within a 5.73-point range ($152.33–$158.06), marking a 3.76% intraday swing.
- Earlier price action followed a clear ascending channel with strong support near $152.80, backed by heavy accumulation.
- SOL peaked at $158.06 during the 19:00 hour on robust volume, reflecting earlier bullish momentum.
- A reversal occurred in the early morning, with the price falling from $156.74 to $154.86 amid heightened selling pressure.
- Peak selling volume hit over 74,000 units between 01:53 and 01:54, marking a sharp burst.
- Short-term momentum turned bearish, with lower highs and weaker volume dominating the final trading hours.
- As of now, SOL is consolidating near $154.50, indicating tentative stability but potential downside risk if volume does not pick up.
