Solana Price Could See a “Long” Winter If This “Squeeze” Risk Plays Out

Solana (SOL) price momentum is stalling despite ETF excitement, showing caution as long-term and mid-term holders are reducing their positions, evidenced by negative net position changes and a 10.7% decline in mid-term holder supply over the last month. This selling pressure is occurring while derivatives markets show excessive optimism, with over 80% of positions being long, creating a dangerous imbalance. If SOL prices fall, this high leverage could trigger a "long squeeze," potentially liquidating $548 million in positions around the critical support level of $188. Furthermore, the daily chart displays a bearish rising broadening wedge pattern and a hidden bearish divergence on the RSI, suggesting fading momentum. A daily close below the $179 support could lead to a drop toward $168, triggering the squeeze, while only a close above $235 would invalidate the current bearish structure.

(Source：BeInCrypto)