Why is Solana (SOL) Price Crashing Today?
Highlights
- Solana price has dropped to a four-month low, causing speculation over whether a dip to $100 is likely.
- Solana meme coin launchpad, PumpFun, is testing its own AMM liquidity pools that could aid SOL's price recovery if network activity rises.
- If SOL drops below $155, a crash towards $112 is likely to occur in the near term.
Solana is dealing with renewed bearish momentum after its price dropped 6.5% today. SOL price trades today below $160, marking its lowest level since November 2024. With nearly $2 billion worth of SOL set to flood the market next week from the FTX bankruptcy auction, speculation is rife about whether Solana price could drop to $100. Amid the panic, PumpFun has launched a new Automated Market Maker (AMM). Can this new initiative prevent SOL price from crashing?
Can PumpFun’s AMM Prevent Bearish Solana Price Forecast to $100?
PumpFun, a platform that makes it easy for creators to launch meme coins on Solana, is exploring launching its own Automated Market Maker (AMM) liquidity pools according to X user Trenchdiver.
An AMM liquidity pool is a smart contract that will enable decentralized trading on the launchpad instead of users relying on external decentralized exchanges (DEXs) like Raydium. A beta version of the AMM liquidity pool is already live on the PumpFun website, featuring a swap interface for trading SOL against meme coins.

By launching its own liquidity pool, PumpFun will make meme coin trading faster, while potentially boosting its revenues. This initiative could also draw more users to the launchpad.
PumpFun has been instrumental in driving activity and usage on the Solana blockchain. Therefore, if the AMM liquidity pool launches and boosts network usage, demand for Solana could rise, driving the price upward.
Will SOL Price Crash to $100 Amid Multiplying Bearish Pressure?
SOL price today sits at $159 after a 6% drop in 24 hours, which brings the monthly performance down by 35%. This massive correction has pushed investors to speculate if this crash is just the start and if Solana price could revisit the $100 psychological level.
According to analyst Crypto_McKenna on X, Solana is structurally bearish after losing support at the $167-$169 zone. Despite the extended downtrend, buying support remains weak, which could lead to a drop between $112 and $126. If the selling pressure does not recede, SOL could revisit $100.

The analyst also anticipates that several headwinds could cause Solana price to drop even further below $100 and hit $79. This is due to the upcoming unlock of 11.2M SOL tokens next week. Additionally, the Bybit hacker is laundering stolen funds using Solana meme coins, which is causing negative market sentiment.
This Solana (SOL) unlock is behind the bearish Solana price prediction and the lack of new buying activity. However, if the firms that bought these tokens from the FTX bankruptcy auction decide to hold and not sell, it could spark a recovery.
Will Long Traders Push Solana Price Down?
The Solana liquidation map shows a large number of long liquidations below the current price. When long traders are liquidated, they are forced to sell to close their positions, which exerts more downward pressure on the price.

Most of these long liquidations are saturated between the $120 and $160 price zones. Data from Coinglass shows that after Solana price fell to $160 on February 24, 2025, it triggered $21M in long liquidations, If these liquidations continue, it could accelerate the altcoin’s downtrend.
What’s Next for SOL price?
Solana is currently oversold after the Relative Strength Index plummeted to 30. The RSI has also been making a series of lower lows suggesting rising selling activity as buyers remain hesitant. While an oversold RSI hints at seller exhaustion, a trend reversal depends on the willingness of buyers to enter the market at the current price.

Solana price was also moving within a descending parallel channel, indicating a bearish continuation. For now, traders should watch out for a breakout of this channel to confirm a prolonged downtrend or a bullish reversal.
Frequently Asked Questions (FAQs)
1. Can Solana price drop to $100 in the near term?
2. Can PumpFun's new initiative aid SOL's price recovery?
3. What is the next support level for Solana?
- Crypto Market Tumbles as Jerome Powell Says December Rate Cut ‘Far From Certain’
- FOMC Meeting: Federal Reserve Lowers Interest Rates by 25 Bps in Second Cut of the Year
- WLF Token Jumps 7% as Former Robinhood Counsel Joins Trump-Backed World Liberty Financial
- Changpeng Zhao “CZ” Warns Investors “Don’t Buy” Golden Statue Meme Coin After 27,000% Surge
- Markets Expect October Fed Rate Cut as Bitcoin Repeats Post-FOMC Pattern
- Ethereum Price Flips BTC in Strategy Shift, Eyes $4500 Level
- Expert Predicts XRP Price to Hit $10 as Elliot Wave, XRPR ETF Inflows Align
- HYPE Price Prediction as 21Shares Files S-1 for Hyperliquid ETF—Can Bulls Push HYPE to $60?
- Bitcoin Price Rally Bound? How the Fed’s Move May Unleash Crypto
- Can ASTER Price Rebound 50% as Whale Activity and Bullish Pattern Align?
- Pi Network Patterns Point to More Gains Despite Manipulation Claims
MEXC
