Solana's price dropped sharply from a July 27 high near $77 to around $73 on July 28, marking a 5% decline. The dip followed a failed attempt to break out of a descending channel that has constrained the token for days.
After buyers pushed SOL close to $77, it hit a resistance barrier near $78 and retreated. Losing the $75 support triggered a wave of long liquidations, pushing the price further down toward $73, where it found a temporary floor. The 4-hour RSI slipped to 35.57, signaling weakening momentum but not yet oversold conditions.
Volatile zones and market sentiment
Clusters of stop-loss orders between $72.50 and $74 could cause bouts of volatility in the coming sessions. Meanwhile, the daily chart shows SOL trading below a key Murrey Math pivot at $75, reinforcing bearish pressure.
Interest seems to be shifting away from Solana toward Ethereum, which recently reclaimed the $1,900 level. Crypto trader Daan Crypto Trades highlighted the eroding horizontal support for SOL and noted that the ETH ecosystem currently offers a stronger outlook. This divergence has left Solana struggles to regain its footing amid a broader market rotation.
The sell-off accelerated as leveraged long positions got liquidated across zones between $75 and $73, feeding further selling pressure. As SOL enters a consolidation phase near $73, traders are waiting to see if it can reclaim the range's upper boundary or sink further.
This article is for informational purposes only and does not constitute financial advice.
