- Solana dropped to lows of $125 amid a sharp sell-off across cryptocurrencies.
- The drop in SOL price sees bulls risk reaching to $100 mark.
- Solana spot ETFs continue to notch inflows.
Solana has come under sharp pressure over the past week, sliding to about $125 after an 11% decline in the past 24 hours.
The sell-off reflects broad weakness across digital assets as Bitcoin’s retreat, driven by global risk-off sentiment, filtered through to the altcoin market.
By early Friday, Nov. 21, CoinMarketCap data showed no top-100 cryptocurrency trading in positive territory, underscoring the depth of the correction and the absence of near-term risk appetite.
Injective, Dash and NEAR were among biggest losers, while Ethereum, XRP and Solana all hovered in the double-digit loss bracket.
Ethereum slumped below $2,700 and XRP to under $1.9
Here’s why Solana price is dumping
Solana’s sharp slide toward the $125 area reflects a broader market pullback driven by a mix of macroeconomic headwinds and a clear technical breakdown.
One of the big triggers is renewed uncertainty surrounding US Federal Reserve interest rate decisions.
Bitcoin, the bellwether of the crypto sector, dipped to lows of $82,000. It dragged altcoins like Solana into the bloodbath.
According to market data, SOL’s 24-hour trading volume surged by 42% to over $9.63 billion.
Alongside the price slide, the jump in trading volume pointed to panic selling as markets reacted to developments ahead of the upcoming FOMC meeting.
Expectations for a December rate cut have fallen sharply to 31%.
The shift follows an announcement from the US Bureau of Labor Statistics that no October jobs report will be released, while the November report will arrive only after the FOMC decision, leaving policymakers and investors without two key labor readings at a critical moment.
According to Lark Davis, the move means Fed chair Jerome Powell “will be flying blind into the FOMC meeting.”
This has the market jittery as investors bet the Fed will look to play it safe by leaving rates unchanged.
SOL ETFs see inflows despite price dip
Despite price declines, Solana spot ETFs continue to see inflows. Data shows the market kept the streak going even as SOL dumped.
On Nov. 20, as Bitcoin spot ETFs saw over $903 million in outflows and Ethereum spot ETFs notched over $260 million in redemptions, Solana remained positive.
According to SoSoValue data, investors poured a fresh $23.6 million in inflows into SOL ETFs, bringing net inflows to over $499 million.
The big question is whether confidence in Solana via ETF products could translate into a boost for bulls.
If prices fall further, the main support area could be around the psychological $100 mark.
