- Solana’s price is falling as Bitcoin’s dominance causes altcoin weakness.
- The altcoin failed to perform major support functions at $90-$97.
- Important support at $83 is at risk, and a breakdown could push SOL to $80.
The price of Solana is under pressure as the price continues to fall amid major changes in the crypto market. The strong rise of Bitcoin is the main reason for this huge change.
Investors are moving money from altcoins to Bitcoin, which affects prices. This type of “threat” mentality often reaches a serious level like Solana’s with difficulty. While the overall market activity has also declined, bearish sentiment is high.
Bitcoin Dominance Weighs on Solana Price
Meanwhile, altcoins like Solana are vulnerable to changing business sentiment. Solana’s price is now in the red zone, which shows a significant drop of 3% per day. Trading at $85.91 at press time, as of CoinMarketCap dataSOL SOL-3.26%down 4% on the month. Despite the recent pullback, the indicator is still 4.3% per month, leaving room for optimism.
Interestingly, the growth of Bitcoin in the crypto market is putting clear pressure on Solana, as many investors are converting their money into BTC. BTC.D is currently at 60.3%, up 0.18%. This change is one of the main reasons for the trend in Solana and many other altcoins.
But what caused this change? Especially, in uncertain times, it is common for traders to transfer their money from altcoins to Bitcoin, because they feel it is safer. As the US-Iran conflict escalates and Iran closes the Strait of Hormuz, investors are looking for safe havens, including BTC.
The main crypto market is also showing weakness. This is understood from fewer commercial items and reduced appetite. As activity slows down, altcoins like Solana tend to experience stronger trading volume compared to BTC. This creates a trend where even minor negative symptoms can lower Solana’s price.
Increase Pressure and Key Points Put SOL Under View
It is worth noting that the recent drop in Solana’s price is due to pressure from the import market. About $9.4 million in long positions were liquidated in just two hours. This means that traders who bet on higher prices were forced to sell their tokens. Such forced trading often adds to the pressure, pushing crypto prices lower.
At the same time, SOL failed to break above the critical area of $90-$97. After average around $90the tree was pushed down, proving that the area is a solid barrier. It is now trading below the $87 level, which indicates that the short-term momentum has subsided.
Solana’s Best Values to See Now
In particular, Solana’s short-term pricing strategy is highly dependent on a small number of price segments. As long as SOL stays above the $83-$85 support, SOL has a chance to bounce back and retest the $90 resistance.
But if the price falls below $83, the situation could become more bearish. This could push Solana’s price up to $80. In the big picture, Bitcoin still dominates. If Bitcoin’s dominance continues, it could be devastating for altcoins like Solana.
