Solana’s price has dipped below $90, raising concerns about its recovery prospects. The token is currently trading near $89.90 after breaking through a key support level. This decline follows a broader correction from its October highs, with $SOL forming lower highs and lower lows, indicating weakening buying interest.
Institutional demand for Solana is also waning, as spot Solana ETFs have seen no net inflows for 12 consecutive trading sessions. The latest data shows that Bitwise and other ETF clients sold approximately $25.08 million worth of $SOL in the most recent session. This lack of institutional support adds pressure to Solana’s recovery efforts.
Despite the ongoing decline, Solana’s technical indicators are showing a potential bullish signal. The Relative Strength Index (RSI) is moving higher while the price continues to make lower lows, creating a bullish divergence. This pattern suggests that selling momentum may be weakening, which could signal a potential rebound. However, the divergence does not guarantee an immediate reversal, and stronger buying participation is needed to confirm a change in trend.
The near-term outlook for Solana remains cautious, with weak ETF flows and a deteriorating price structure weighing on the token. The improving RSI offers a glimmer of hope, but the lack of institutional demand raises questions about how quickly buyers could return. The next phase will depend on whether this technical divergence attracts fresh buying interest or simply provides a temporary pause in the broader decline.