⚠️ Market Storm Ahead — Solana Demand Slips at a Critical Turning Point
After a 5% loss on Thursday, Solana trades below $150, its lowest daily closing in five months.
US spot Solana ETFs have its lowest daily inflow ever, reducing institutional demand.
Retail demand falls as Open Interest and financing rates indicate pessimism.
Solana Price Forecast: ETF inflows and sentiment decline, SOL falls to five-month low.
This week, Solana (SOL) has lost over 13% for the third straight week. The two-week-old US Solana spot ETFs had the lowest net inflows ever, indicating weaker institutional demand. The larger market drop hurts derivatives market sentiment, reducing Solana risk exposure.
The technical prognosis for Solana continues bleak as bears target June's $125 low.
Bitcoin's (BTC) drop below $100,000 hurts Solana and investors' trust. The Bitwise Solana staking ETF generated $1.49 million net inflow on Thursday for US Solana spot ETFs, according to Sosovalue.
Bearish pessimism in the derivatives market has traders lowering Solana futures capital. In the previous 24 hours, CoinGlass data reveals the SOL futures Open Interest (OI) fell 3.34% to $7.35 billion. This suggests traders are closing long positions or lowering leverage.
From near-neutral earlier in the day, the OI-weighted funding rate has dropped to -0.0076%, showing that traders are ready to keep short positions and expect a protracted downturn.
Solana falls for the fourth day this week, breaching $150 psychologically. SOL is down over 2% on Friday, heading for the June 22 low of $126. SOL might challenge $100 psychological support and the April 7 low of $95 if it falls below $126.
On the same chart, the Relative Strength Index (RSI) drops to 31 and oscillates toward the oversold zone, indicating renewed selling pressure. As RSI lingers at the oversold border and SOL price strikes a new low, a bullish divergence pattern suggests a rebound.
