The price of #solana (#sol ) has begun a recovery wave, rising above the $130 mark after consolidating near $125.
The price is now facing resistance near the levels of $135 and $140, indicating potential for additional gains.
SOL is trading above its simple moving average of 100 hours with an upward trendline supporting the $130 zone on the hourly chart, according to trading data from Kraken.
Despite this positive momentum, institutional investors are enduring significant losses, as nearly 79.6% of the circulating supply of Solana is currently underwater at a price close to $126.9. This highlights the high concentration of holdings in a market with disproportionate weight before the recent decline, as indicated by on-chain analyses from Glassnode published on X by @glassnode.
Related reading: Crypto funds inject $4.4B as Ether ETPs break records.
Forward Industries faces a loss of $668M amid the price drop of SOL.
Forward Industries (NASDAQ: FWDI), which holds over 6.9 million SOL tokens (approximately 1.1% of the supply), faces an unrealized loss of approximately $668 million.
The company acquired SOL at an average price of $230, while the current valuations of the tokens have fallen below $130.
This marks a loss of 44.2% on your investment. Despite the price drop, Forward Industries continues to bet its tokens, maintaining performance and portfolio position, according to a report on X by @TassoLago.
This substantial loss underscores the growing pressure that digital asset treasury companies face amid volatile cryptocurrency markets.
While other major holders like Strategy have unrealized gains in BTC holdings, and Bitmine's ETH holdings suffer losses, Forward's Solana treasury highlights the particular amplified risks of large and leveraged positions in crypto assets.
The value of the company's shares has also fallen dramatically, with a market capitalization now below the value of its SOL holdings.
Market outlook for SOL and resistance levels.
Technically, Solana's immediate resistance zones are $135 and $140, with further obstacles at $145 and $155. If the price fails to break above $135, support levels at $130 and $127 may come into play.
The broader market dynamics show that open interest in Solana futures has stabilized around 8 million contracts, suggesting consolidation and cautious positioning among traders awaiting new catalysts for recovery.
The ongoing recovery and institutional posture set the stage for a crucial moment in Solana's price action.
Forward Industries' commitment despite the large losses signals confidence in future rebounds, but the prevailing caution in the market reflects a broader uncertainty in crypto asset treasuries.
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