Despite Solana spot ETFs attracting investor capital for 13 straight days, SOL has tumbled to its lowest price point in five months. The disconnect between ETF success and token performance has traders questioning whether the cryptocurrency could slide further to the psychologically critical $100 level.
Solana is experiencing an unusual market contradiction that has left cryptocurrency analysts scratching their heads. While newly launched Solana spot ETFs continue their impressive streak of 13 consecutive days of net inflows, the native SOL token has plummeted to levels not seen since November 2024, raising concerns about further downside ahead.
The divergence between institutional enthusiasm and price action presents a puzzling scenario for market participants. Typically, sustained ETF inflows signal growing institutional confidence and serve as a bullish catalyst for the underlying asset. However, SOL has defied this conventional wisdom, breaking through multiple technical support levels despite the apparent vote of confidence from traditional finance investors.
Technical analysts point to several key support zones that have recently failed, leaving the token vulnerable to additional selling pressure. The breakdown of these critical price levels has shifted market sentiment decidedly bearish, with many traders now eyeing the psychologically significant $100 mark as the next potential target.
Several factors may explain this counterintuitive price movement. The broader cryptocurrency market has faced headwinds from macroeconomic uncertainty and regulatory concerns, creating selling pressure that has overwhelmed the positive impact of ETF inflows. Additionally, existing SOL holders may be taking profits or de-risking positions, outweighing the incremental demand from ETF purchases.
The timing of Solana's price decline is particularly notable given the network's recent technological achievements and growing ecosystem activity. Solana has maintained its reputation for high-speed, low-cost transactions, and the network continues to attract developers and decentralized applications. This fundamental strength makes the current price action even more perplexing.
Market participants now face a critical question: Will the sustained ETF inflows eventually translate into upward price momentum, or do current market conditions suggest that SOL could indeed test the $100 level in the near term? The answer may depend on whether broader market sentiment improves and whether technical support levels can hold against continued selling pressure.
For now, the Solana community watches closely as this unusual disconnect between institutional demand and token price continues to unfold, potentially setting up either a significant buying opportunity or further capitulation ahead.