- Solana (SOL) fell 8.33% to $128.82 following rising geopolitical tensions involving reported U.S. military action in Iran.
- The token dropped sharply from $140.39 to $127.25, with the largest hourly decline occurring at 1:00 PM as trading volume spiked above 4 million.
- Market fears over potential Strait of Hormuz closures and rising oil prices triggered widespread risk aversion in the crypto sector.
- SOL broke below important technical support, including the 200-day simple moving average, and now faces potential support in the $120–$125 range.
- Technical analysis showed persistent sell pressure, failed recovery attempts, and a bearish market structure during the session.
Solana (SOL) declined 8.33% in the past 24 hours, trading at $128.82 after a sudden drop linked to reports of U.S. military strikes on Iranian nuclear sites. The sharp sell-off occurred midday, as global tensions increased and investors moved away from risky assets.
SOL’s price fell from $140.39 to $127.25, with the steepest hourly drop reported at 1:00 PM. During this hour, trading volume reached over 4 million, according to CoinDesk Research. The market reaction followed confirmed reports of U.S. military activity, which sparked concerns globally.
The geopolitical developments led to fears that the Strait of Hormuz could temporarily close, threatening energy supplies and possibly driving oil prices higher. Rising oil prices could fuel inflation and reduce the chances of near-term U.S. Federal Reserve interest rate cuts. These factors contributed to a risk-off mood, causing a broader sell-off in alternative cryptocurrencies.
Technical data showed that SOL broke below its 200-day simple moving average, previously near $149.54, seen as a key indicator for long-term price direction. Analysts observed a descending price channel characterized by lower highs and lower lows. Multiple efforts to recover above resistance at $133.80 failed, while support levels emerged at $127.43 and $128.90.
According to CoinDesk Research, the session experienced the widest price range between $141.14 and $126.85—a 10.2% swing. Increased trading volume during sell-offs, especially from 3:25 PM to 3:27 PM, pushed SOL below $129.30. Late in the session, the token traded consistently between $130.42 and $128.85, with persistent selling and unsuccessful rebounds near $130.05.
Analysts now view the $120–$125 area as potential support. Additional sell pressure may emerge if geopolitical uncertainty continues, as Bitcoin dominance tends to increase in such periods.
Parts of this article were generated with the assistance of AI tools and reviewed by the editorial team to ensure accuracy and adherence to standards. For more information, see CoinDesk’s full AI Policy.
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