#ETHBreaksATH What caused the sudden "crash" in Solana's price?
A sudden sell-off by "whales" increases selling pressure
About three weeks ago, a large investor sold an estimated $17 million worth of SOL, triggering a $57 million long squeeze, which pushed the price down by about 10% and raised expectations of a potential drop to $120 (AInvest).
Dwindling investor sentiment and a shift towards Ethereum
In the last two weeks, Solana's price has seen a decline of about 10% despite strong on-chain indicators such as a 500% growth in stablecoin volume and a growing total value locked, indicating that institutional interest is shifting towards Ethereum at the expense of Solana (AInvest).
Failed to Break Resistance Levels and Surge in Selling Volume
Six days ago, the price attempted to break the $200 barrier but failed, retreating to around $181 with a significant increase in trading volume (58%), confirming strong selling interest in the market (BanklessTimes).
General Macroeconomic Pressure on the Market
In mid-August (August 18), most cryptocurrencies declined: Bitcoin -2.3%, Ethereum -5.2%, Solana -6%, amid uncertainty surrounding the US Federal Reserve's monetary tightening policy (Barron's).
