Ted Hisokawa
Nov 17, 2025 15:12
SOL trades at $138.78 after recent 4.9% decline triggered by Alameda Research token unlocks, testing critical support levels as broader crypto markets remain volatile.
Quick Take
• SOL trading at $138.78 (down 1.1% in 24h)
• Alameda Research unlocks continue applying downward pressure following 4.9% weekly decline
• SOL price testing lower Bollinger Band support at $126.67 with oversold RSI at 31.28
• Bitcoin correlation intact as both assets face macro headwinds from recent Wall Street volatility
Market Events Driving Solana Price Movement
The primary catalyst weighing on SOL price this week stems from Alameda Research’s continued token unlocks, which released approximately 193,000 SOL tokens worth $30 million into the market on November 12th. This selling pressure directly contributed to Solana’s 4.9% decline from $160.72 to $152.81, demonstrating the ongoing impact of programmatic selling from the bankrupt trading firm’s monthly vesting schedule.
Broader market turbulence has amplified SOL’s weakness, with Wall Street experiencing significant morning volatility on November 14th that saw the S&P 500 initially drop 1.3% before recovering. Bitcoin’s decline below $95,000 during this period created additional headwinds for the entire cryptocurrency sector, with SOL following the broader risk-off sentiment.
Despite these pressures, institutional interest remains robust following Bitwise’s successful Solana ETF launch. The Bitwise Solana Staking ETF accumulated $420 million in its first week, part of $336 million in total institutional inflows to Solana ETFs. This development signals growing institutional adoption even as short-term selling pressure persists.
SOL Technical Analysis: Testing Lower Band Support
Price Action Context
SOL price currently sits well below all major moving averages, with the token trading 23.1% below its 20-day SMA at $161.87 and 34.9% below its 50-day SMA at $186.89. This positioning indicates a clear bearish trend in the near term, though the distance from moving averages suggests potential oversold conditions.
Trading volume on Binance spot market reached $650 million in 24 hours, indicating sustained interest despite the downward pressure. The Bollinger Band %B position at 0.1720 shows SOL price operating near the lower band at $126.67, historically a region where reversals often occur.
Key Technical Indicators
The 14-period RSI at 31.28 has entered oversold territory, suggesting potential for a relief bounce if buying interest emerges. However, the MACD remains deeply negative at -13.9212, with the histogram at -1.6632 indicating bearish momentum persists.
Stochastic indicators show extreme oversold readings with %K at 11.57 and %D at 7.94, reinforcing the RSI signal that SOL may be approaching a technical floor. The daily ATR of $11.74 reflects elevated volatility, providing both risk and opportunity for active traders.
Critical Price Levels for Solana Traders
Immediate Levels (24-48 hours)
• Resistance: $143.28 (24-hour high and initial recovery target)
• Support: $134.42 (24-hour low and immediate downside risk)
Breakout/Breakdown Scenarios
A break below $134.42 could accelerate selling toward the lower Bollinger Band at $126.67, potentially triggering stop-loss orders and creating a cascade effect. Conversely, a recovery above $143.28 would need to contend with the 7-day SMA at $143.89 before targeting the psychological $150 level.
SOL Correlation Analysis
• Bitcoin: SOL maintaining strong correlation with BTC, both experiencing similar selling pressure from macro concerns and technical weakness
• Traditional markets: Following broader risk-asset selloff seen in equity markets, with tech volatility particularly impacting crypto sentiment
• Sector peers: Underperforming relative to some Layer 1 competitors due to specific Alameda unlock pressure
Trading Outlook: Solana Near-Term Prospects
Bullish Case
Recovery above $143.28 with sustained volume could signal the beginning of a relief rally, targeting the $150-155 range where the EMA 12 provides next resistance. Continued institutional ETF inflows and potential end to Alameda selling could provide fundamental support.
Bearish Case
Failure to hold $134.42 support opens the door to test the lower Bollinger Band at $126.67, with further weakness potentially targeting the psychological $120 level. Continued macro headwinds and additional Alameda unlocks represent ongoing risk factors.
Risk Management
Conservative traders should consider stop-losses below $132 to limit downside exposure, while position sizing should account for the elevated $11.74 daily ATR. Given current oversold conditions, any long positions warrant tight risk management given the uncertain macro environment affecting the broader cryptocurrency sector.
Image source: Shutterstock
