Will Solana’s Price Recovery Be Challenging? Here’s What On-Chain Signals Suggest
Solana showed a sharp intraday recovery, but on-chain signals suggest its sustained price recovery may be challenging due to slowing long-term holder buying.Summary
Solana (SOL) staged a sharp intraday recovery, gaining 12% after aggressive dip buying prevented deeper losses, coinciding with a broader crypto market rebound. However, on-chain analysis indicates potential challenges for a sustained recovery. The HODLer Net Position Change shows that long-term holder buying momentum is slowing, which historically supports prices during downturns. If this accumulation remains weak, SOL may struggle to build durable upside.
Conversely, momentum indicators suggest selling pressure might be exhausting, as the Money Flow Index (MFI) is approaching oversold territory below 20.0, which has historically preceded stabilization or short-term rebounds for Solana. At the time of writing, SOL traded near $88. For a confirmed recovery, SOL needs to reclaim $100, potentially targeting $110. Failure to secure $100 could keep the price range-bound near $90 or risk a retreat toward $78, invalidating the immediate bullish outlook.
(Source：BeInCrypto)