Solana Price Under Pressure as Selling Activity Rises—Is More Downside Ahead?
The Solana price has seen a decline of 1.5%, dropping to $78.82 and falling below the $80 mark. This underperformance is largely attributed to the aftermath of a major hack within the Solana ecosystem. The $285 million exploit on Solana-based Drift Protocol that occurred on April 01, 2026, continues to cast a shadow over the market. The hack, orchestrated by North Korean hackers, led to a significant drop in Drift’s Total Value Locked (TVL) from $530 million to $230 million. This incident created a liquidity crisis and eroded trust within the community, ultimately impacting the price of SOL as investors reevaluate the security risks associated with the ecosystem.
The structural weakness in SOL’s price is evident at a time when the broader market is attempting to stabilize. The increased sell-side pressure is setting a cautious tone for the short term. SOL is currently trading near a critical support zone in the range of $75–$78, with the price hovering around $78–$80. The failure to sustain a recovery above $85 signals weakness, indicating a lack of strong buyer conviction at higher levels. The current phase is characterized by pressure at support levels, with the outcome of either holding or losing this range likely to determine the next move for SOL.
On the daily chart, SOL has broken down from an ascending channel and is consolidating just above the $77 support level. The Relative Strength Index (RSI) is below neutral, reflecting fading momentum, while lower highs are forming after rejection near the $90–$95 resistance zone. If the $77 support fails, downside targets open up towards $73, followed by a deeper move to $67–$70. To regain short-term strength, SOL must reclaim the $85–$86 range, with $93–$95 serving as the next key resistance zone.
The decline in TVL within the Solana ecosystem signals a capital outflow, reflecting reduced DeFi activity, lower user participation, and funds rotating out of the network. Data from DeFiLlama shows a consistent drop in Solana’s TVL from above $9 billion to nearly $5.5–$6 billion in recent weeks. This decline indicates a lack of confidence among investors, leading to reduced capital inflow and existing holders reducing their exposure to the ecosystem.
Looking ahead, the future of SOL’s price hinges on its ability to secure a range above $85. The current setup, characterized by weak chart structure and declining TVL, suggests a fragile hold rather than a strong base. This limits upside potential in the near term, as the absence of capital inflow makes it challenging to sustain higher price levels. Until there is a shift in the declining TVL trend or a stabilizing of the price, the outlook for SOL points towards slow and reactive price action with elevated downside risks.
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