Market overview
Solana faces renewed selling pressure as the token falls from $160.72 to $152.81, showing a 4.9% decline despite continued institutional support through exchange-traded fund products. The decline comes on increased volume, running 17.25% above the seven-day moving average. Active repositioning dominates rather than passive operation.
Selling is intensifying following another planned token unlock from bankrupt Alameda Research and the FTX estate on November 11. Analyst MartyParty reports that around 193,000 SOL tokens worth $30 million are being released as part of the ongoing monthly monetization. The program has gradually distributed over 8 million tokens since November 2023. These structured releases, managed under bankruptcy supervision, typically flow to major exchanges for repayment of creditors.
Institutional demand remains robust with solana spot ETFs recording their tenth consecutive day of inflows totaling $336 million for the week. Major financial institutions, including Rothschild Investment and PNC Financial Services, disclosed new holdings in Solana-based products. Grayscale introduced options trading for its Solana Trust ETF (GSOL) to provide additional hedging tools for institutional traders.
Supply Pressure vs Institutional Demand: What Traders Should Watch
Alameda’s systematic token releases predictably create selling pressure, while institutional flows provide underlying support. SOL finds himself caught between opposing forces. The bankruptcy estate retains approximately 5 million tokens in locked or staked positions. Smaller monthly unlocks continue through 2028 based on pre-2021 investment deals.
The 60-minute analysis reveals accelerating bearish momentum as SOL breaks critical support at $156 amid explosive selling volume. The split occurs during 15:00-16:00 UTC, when the price falls from $155.40 to $152.86 on 212,000 volume—123% above the hourly average.
This technical failure confirms the previous support break and establishes a descending channel targeting the $152.50-$152.80 demand zone. However, the underlying strength in ETF flows suggests institutional accumulation at lower levels. Bitwise’s BSOL leads weekly inflows with $118 million while maintaining its dividend-focused strategy by betting rewards averaging over 7% annually.
Technical key levels Signal consolidation phase for SOL
Support/Resistance: Primary support is established at $152.80 demand zone with secondary levels at $150; immediate resistance at $156 (previous support) and $160
Volume analysis: 24-hour volume rises 17% above weekly average during collapse, confirming institutional repositioning rather than retail capitulation
Chart Patterns: Descending channel formation with lower highs of $156.71 and $156.13; break above $160 is needed to invalidate bearish structure
Objectives and risk/reward: Bounce potential towards $160-$165 resistance if $152.80 holds; break below $150 is accelerating towards $145 support levels
CoinDesk 5 Index (CD5) falls 1.85% in volatile session
The CoinDesk 5 index fell from $1,792.49 to $1,759.24, down $33.25 (-1.85%) over a total range of $74.31, as strong bearish momentum emerges after failing resistance at $1,824.82, with significant institutional volume during the 15:00 sell-off below 15:00-16. $1,767.
Disclaimer: Parts of this article were generated with the help of AI tools and reviewed by our editorial staff to ensure accuracy and adherence to our standards. For more information, see CoinDesk’s full AI policy.
