Solana (SOL) experienced significant downward pressure this week, with its price declining approximately 15% following a major sell-off executed by cryptocurrency exchange Binance.
The sell-off involved Binance offloading 110,000 SOL onto the market, triggering extensive long liquidations totaling $46 million on August 1st alone. This action effectively forced out excessive market leverage.
Consequently, SOL’s value dropped towards a critical technical support area around $160. Market analysis indicates a significant cluster of realized prices – reflecting the average cost basis for many holders – sits between $140 and $150 just below this level.
This $140-$150 zone is widely viewed by analysts as a potential area for market stabilization and price reaccumulation should the current downtrend extend further. Market participants may view these lower price levels strategically to re-accumulate SOL positions after the sell-off reduced systemic leverage.