Solana Price Analysis: SOL plunges as ETF speculators bet billions on XRP and DOGE

Source Fxstreet
  • Solana price tumbles as low as $180 on Monday, down over 9% since the US SEC acknowledged XRP and DOGE ETFs fillings on Friday
  • Bears dominate the SOL derivatives markets with $400 million active short contracts dwarfing $138 million long positions.
  • Technical analysis indicators suggest SOL price remains at risk of further downsizing.


Solana (SOL) price tumbles as low as $180 on Monday, down over 9% in three consecutive days of losses. Bearish dominance in the SOL derivatives markets suggests the downtrend could extend in the week ahead.

Solana (SOL) plunges 9% as ETF speculators switch focus to XRP and DOGE

Solana (SOL) negative performance in February has extended further as the bearish price action intensified over the weekend.

Notably, the onset of Solana’s latest downtrend coincided with news of the US Securities and Exchange Commission (SEC) acknowledging Grayscale’s ETF filings for Ripple (XRP) and Dogecoin (DOGE) on Friday.

As short-term traders reacted to the news by mounting demand for both XRP and DOGE, it dampened momentum for other major altcoins with ETF filings in progress, including Litecoin (LTC) and Solana (SOL).

Solana (SOL) price action | SOL/USDT

The chart above shows that the SOL price has been in a steep downtrend since Saturday. SOL price has booked three consecutive days of losses since the SEC acknowledged DOGE and XRP ETFs fillings, declining over 9%. This brings Solana’s losses for February towards the 25% mark at press time on Monday.

Bears are betting $400 million leverage on further SOL downswings

The short-term impact of the SEC move on the altcoin markets has evidently been pivotal to Solana’s three-day losing streak, which saw it decline over 9% from $200 on Saturday to $182 at press time on Monday.

However, a closer look at SOL derivatives market metrics suggests that most traders anticipate further losses in the week ahead.

The Coinglass Liquidation Map chart below also emphasizes this stance, showing active leverage short vs. long positions mounted around the 20% boundaries of the current Solana prices.

This helps provide insights into how most short-term speculative traders are leaning during specific market phases.

Solana Liquidation Map | Source: Coinglass

The chart above shows active short contracts worth $400 million against long positions that have dwindled to $138 million.

This signals that bears currently maintain 65% dominance within the Solana derivatives market. It suggests that after three consecutive days of losses, most bull traders are now losing confidence and opting to capitulate rather than cover their positions.

Short positions outpacing longs can be indicative of a prolonged downtrend.

On the flip side, with short traders now over-leveraged, bulls may keep an eye on a slim breakout chance if markets receive a major bullish sentiment boost as the week unfolds.

By catching the overleveraged bears unawares, a short squeeze could drive up prices rapidly.

Solana Price Forecast: Bears eyes $175 as downward momentum intensifies

Solana’s price action is tilting bearish as it hovers near $182, extending its recent downtrend.

The daily chart highlights a 24% decline so far in February, with bears tightening their grip following the SEC’s acknowledgment of ETF filings for XRP and DOGE.

The parabolic SAR dots above the price candles indicate a strong bearish trend, reinforced by SOL’s persistent struggle below the 50-day Simple Moving Average (SMA) at $212.09 and the 21-day SMA at $216.70.

This suggests mounting selling pressure, with resistance levels stacking above the current price.

Solana price forecast | SOL/USDT

Momentum indicators in the daily chart further confirm downside risks.

The Forecast Oscillator stands at -4.56, reflecting weakening bullish momentum.

Meanwhile, the MACD line at -1.71 remains below the signal line (-6.69), with deepening red histogram bars signaling sustained bearish momentum.

If sellers maintain control, SOL could breach its immediate support at $180, paving the way for a slide toward $175.

However, an overextension of bearish bets could set the stage for a short squeeze. If bulls capitalize on excessive short positioning, a reversal above $190 could ignite a rebound toward $208, reclaiming lost ground.
 

Disclaimer: For information purposes only. Past performance is not indicative of future results.
placeholder
October hike odds climb toward 60% as Goldman and BofA both flip — what Warsh's "dose of accommodation" really changedRate futures now price roughly 55% to 62% for a 25bp hike at the October 27-28 FOMC, up from about 30% before Chair Warsh's post-meeting framing that the Fed is merely "removing some accommodation." Goldman Sachs has added an October hike to its forecast and Bank of America now sees moves in both October and December. Here is the repricing, the language behind it, and the two data points that decide it.
Author  Irene Q.
Sep 23, Wed
Rate futures now price roughly 55% to 62% for a 25bp hike at the October 27-28 FOMC, up from about 30% before Chair Warsh's post-meeting framing that the Fed is merely "removing some accommodation." Goldman Sachs has added an October hike to its forecast and Bank of America now sees moves in both October and December. Here is the repricing, the language behind it, and the two data points that decide it.
placeholder
Four jobs reports in five days: what JOLTS, ADP, claims and the September payrolls mean for the October Fed decisionThe US labour market faces its densest data week of the month. JOLTS job openings land Tuesday (7.2 million expected), ADP on Wednesday (70,000 expected), initial claims on Thursday and the September non-farm payrolls on Friday (100,000 expected, down from 162,000). Markets price a 64%-70% chance of another quarter-point Fed hike on October 28. The dollar index sits at 100.77 and the S&P 500 at 7,729.8.
Author  Mitrade
Sep 28, Mon
The US labour market faces its densest data week of the month. JOLTS job openings land Tuesday (7.2 million expected), ADP on Wednesday (70,000 expected), initial claims on Thursday and the September non-farm payrolls on Friday (100,000 expected, down from 162,000). Markets price a 64%-70% chance of another quarter-point Fed hike on October 28. The dollar index sits at 100.77 and the S&P 500 at 7,729.8.
placeholder
Nvidia's $150 billion buyback landed — and the AI sector fell anyway. That's the signal worth tradingNvidia closed up 1.68% at $228.86 on 28 September after announcing a $150 billion share repurchase authorisation, the largest single corporate buyback on record, while the rest of the AI complex sold off: AMD -3.6%, Micron -2.6%, Meta -4.8% and the Philadelphia Semiconductor Index -1.61%. The divergence is not noise. Capital is rotating toward cash-flow certainty, not abandoning the AI theme. With Micron reporting after the close on 30 September, here is what the split means.
Author  Irene Q.
Sep 29, Tue
Nvidia closed up 1.68% at $228.86 on 28 September after announcing a $150 billion share repurchase authorisation, the largest single corporate buyback on record, while the rest of the AI complex sold off: AMD -3.6%, Micron -2.6%, Meta -4.8% and the Philadelphia Semiconductor Index -1.61%. The divergence is not noise. Capital is rotating toward cash-flow certainty, not abandoning the AI theme. With Micron reporting after the close on 30 September, here is what the split means.
placeholder
【Daily Brief】30-year Treasury tops 5.59%, S&P 500 slips to 7,670 and gold holds $4,180 — PCE lands tonightThe 30-year Treasury yield closed at 5.59%, its highest since June 2002, and the Dow fell 131.59 points to 51,349.92. US consumer confidence dropped to 81.9, a 12-year low, and JOLTS job openings fell to 7.1 million. August PCE and Q3 GDP both land at 8:30am ET tonight.
Author  Suzie
Sep 30, Wed
The 30-year Treasury yield closed at 5.59%, its highest since June 2002, and the Dow fell 131.59 points to 51,349.92. US consumer confidence dropped to 81.9, a 12-year low, and JOLTS job openings fell to 7.1 million. August PCE and Q3 GDP both land at 8:30am ET tonight.
placeholder
Gold falls to near $4,150 as higher Treasury yields, oil prices outweigh softer PCE inflationGold price (XAU/USD) tumbles to near $4,150 during the early Asian session on Thursday, pressured by elevated US Treasury bond yields. Traders await the US September employment data for fresh impetus, which will be released later on Friday. 
Author  FXStreet
13 hours ago
Gold price (XAU/USD) tumbles to near $4,150 during the early Asian session on Thursday, pressured by elevated US Treasury bond yields. Traders await the US September employment data for fresh impetus, which will be released later on Friday. 
Related Instrument
goTop
quote