Solana Holds Firm Despite 99% Drop in ETF Inflows

Solana's price is holding steady around $120 despite a dramatic 99% drop in ETF inflows last week. After four consecutive gains, the cryptocurrency is testing its recovery amid weaker demand for Solana-focused funds. Net inflows plummeted to just $2.43 million from $188.22 million the previous week, marking a 98.7% decline. However, this still represents the 14th straight week of positive flows, indicating ongoing, if reduced, investor interest.

Despite the slowdown in ETF demand, Solana's network activity remains robust. Decentralized exchange trading on the platform surpassed the combined volume of Ethereum and its Layer-2 networks on Sunday, while tokenized-stock trading volume exceeded $4.4 billion. These metrics suggest strong ecosystem engagement, even as investment through ETFs moderates.

Technically, SOL is maintaining a mildly bullish structure, trading above key moving averages on the four-hour and daily charts. The price is consolidating within a narrowing triangle pattern, with immediate support around $119.16 and resistance near $123. A breakout above September's high at $124.95 could target $132.87, but this remains conditional on sustained buying pressure. Momentum indicators favor a modest bullish bias, though not an especially strong surge.

The next move for SOL will depend on whether buyers can defend nearby support and overcome resistance. A decisive break below $119.16 would bring the 100-period EMA near $116.43 into focus, with further support around $110.44. For now, the technical bias remains mildly bullish, but the outcome hinges on investor behavior in the coming sessions.