Solana Under Pressure as ETF Uncertainty, DeFi Slowdown, and Trade Tensions Weigh on Outlook
Solana’s price remains under pressure amid ETF uncertainty, declining DeFi activity, and global market turbulence. While some institutional optimism persists weak on-chain metrics and macro headwinds are testing investor conviction.
Solana back under pressure
Solana's (SOL) price action has been closely tied to evolving ETF expectations, shifts in on-chain activity, the US government shut down and heightened US-China trade tensions, with traders watching regulatory signals and ecosystem metrics for clues about the next move.
Bitwise advanced its Solana ETF filing by amending the registration to include staking and setting a 0.20% fee, a step seen as an effort to win SEC approval under the new crypto listing expectations.
Meanwhile, JPMorgan analysts cautioned that even with growing optimism, proposed spot Solana ETFs may only attract modest inflows - citing softening on-chain engagement and investor fatigue as potential limitations.
Adding to the intrigue, some voices within the institutional space have elevated Solana’s narrative. Bitwise’s investment chief described SOL as potentially becoming “the new Wall Street,” linking its growing traction in tokenization, DeFi, and stablecoin use to broader adoption.
This bullish framing contrasts with recent data indicating waning DeFi TVL and fewer active addresses on Solana, both of which raise questions about whether usage trends can sustain the optimism.
In short, Solana’s recent headlines reflect a market grappling with idealism and realism: the promise of ETF entry and elevated narratives versus the sober reality of usage metrics and regulatory friction.
For SOL to mount a sustained advance, the convergence of institutional capital, robust ecosystem metrics, and positive regulatory developments will be essential.
Solana bearish scenario:
SOL is deemed to be under pressure while trading below Tuesday's $211.35 high.
A fall through Monday's $216.90 low would probably put the late July, mid-to-late August and current October lows at $175.79-to-$170.34 on the map.
Solana bullish scenario:
A bullish reversal and rise above this week's $211.35 high and then the late August peak at $$217.93 may put the early October highs around the $237 mark back on the cards.
Solana daily candlestick chart
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