Solana Crashes 18% Amid $5.39B Selloff — Will the $90 Barrier Hold?

Solana’s price took a sharp turn this week, shedding 18% in 24 hours and breaking below $100 for the first time since early 2024. This surprising crash was caused by extensive sell-offs across the crypto market, fueled partly by monetary concerns following President Trump’s newly imposed tariffs. The rapid downturn sent shockwaves through investors, prompting fears that additional declines may be ahead, potentially breaching the key $90 support level in the coming days.

CoinMarketCap reported a 230% surge in Solana’s 24-hour trading volume, accomplishing $5.39 billion. This significant spike suggests a panic-driven selloff rather than normal market movement. Meanwhile, Coinglass statistics revealed that over $62 million in Solana’s long positions had been liquidated, marking it as the second-most liquidated altcoin during that period. With increased volatility and concerns, questions are arising about how low SOL may go if momentum does not reverse soon.

Mixed Signals from Investors during Market Fear

Despite this sharp decline, not all buyers are reacting. A notable whale tackle has staked 71,318 SOL, valued at over $7.63 million—even though it is presently at a loss. This bold move indicates that some large holders still see long-term price and may take advantage of the price dip. Such movements from whales offer a contrasting signal, likely suggesting confidence in a rebound despite near-term instability in the cryptocurrency market.

Adding to this optimism, Helius Labs’ CEO described Solana as “the most obvious asymmetrical bet” for those without a strict time horizon. His support highlights that some buyers still consider Solana’s fundamentals even during the chaos. However, others are skeptical. With the current vogue showing steep losses, many market individuals have adopted a wait-and-see approach. The difference between convictions and short-term concerns continues to shape investor behavior during this downturn.

Solana Crashes Below $90: Is It Inevitable?

Renowned crypto analyst Jason Pizzino has voiced concerns that a deeper Solana crash may be underway. According to his latest forecast, the Solana price should soon dip below $90 and might even approach $80. This would symbolize an over 80% decline from its peak levels, underlining the severity of the market correction. With SOL already buying and selling near year-long lows, these bearish predictions are gaining traction among cautious investors.

Chart 1: SOL/USD, published on TradingView, 7th April, 2025

Further intensifying the pressure is an approaching unlock of 465,000 SOL, valued at over $50 million. Scheduled for one week, this token liberation could unleash a new wave of promotional pressure as the market shifts from volatility. Historically, token unlocks have often led to downward moves, particularly when investor sentiment is low. If selling quickens around the free-up event, it could act as a catalyst for a prolonged downtrend in Sol price in the short term.

Key Takeaways and What to Watch Next

The recent fall in Sol prices has raised serious questions about its trajectory. With the upcoming token unlocks and market-wide anxiety, the possibility of a deeper Solana crash remains. However, some stakeholders continue to maintain faith in their long-term outlook, as evidenced by the current high-value staking activity. Whether these actions will assist in stabilizing the assets or delaying the inevitable is yet to be determined. Moving forward, investors should closely monitor upcoming liberation events, trading volumes, and sentiment indices. These elements offer clear alerts on whether the $90 support level holds or breaks.