Solana Price Prediction: SOL Falls for the Fifth Consecutive Day, Testing the Support Level of $126

The price of Solana (SOL) has fallen for the fifth consecutive day, with a decline of about 5%. It is currently trading at $126, testing an important support level since June 22. The overall downward pressure in the Crypto Assets market has increased, with Bitcoin's price dropping below $87,000, triggering over $600 million in market liquidation within 24 hours.

The derivatives market shows a bearish trend. Solana futures open interest decreased by 6.17% to $7 billion, while the funding rate turned negative (-0.0055%), indicating increased confidence among bears. In the past 24 hours, the amount of long liquidations reached $31.88 million, while short liquidations were only $2.99 million, suggesting that the selling pressure is primarily concentrated on long positions.

On-chain data reflects a decline in user participation. The number of daily active addresses on Solana has dropped from 7-9 million at the beginning of the year to 3-4 million, with DEX trading volume decreasing and total value locked (TVL) also falling. This indicates a capital outflow from the ecosystem and a weakening market confidence in the protocol.

On the technical front, SOL formed a bearish Marubozu candlestick on Monday, erasing the gains from last week over the past five days. If the closing price falls below $126, the price may further probe down to $112, or even approach the $95 low from April 7. The daily RSI is at 33, nearing the oversold zone, while the MACD remains above the signal line; a drop below will confirm the bearish momentum.

Solana bulls have maintained the support zone of $121-128 for three consecutive weeks, but trading volume has decreased, and the weekly RSI shows a declining trend, reflecting weakened rebound momentum. Overall, the trend indicates that the SOL price may continue to decline in the coming days, testing the support near $100.