Solana Faces Pressure as Price Tests $200 Support Level

Key Insights:

• Solana price has dropped 18% in a week, testing the critical $200 support level.
• Futures open interest hit a record 71.8 million SOL, while network metrics weakened.
• Institutional interest grows despite declining DeFi activity and transaction volumes.

Solana (SOL) has entered a key phase as its price struggles to hold above the $200 support level. Furthermore, Solana has dropped 18% in the last week, marking one of its weakest performances in 2025. Traders are closely watching whether this level will provide a base for recovery or open the way to further losses.

Market Sentiment Turns Bearish

Crypto analyst Crypto Alpha stated that Solana failed to maintain the $250 zone and corrected sharply. He pointed to $200-$210 as a strong support area and expects a potential retest of $250 if the level holds. 

Meanwhile, data shows futures open interest in Solana reaching a record 71.8 million SOL, with a value of about $14.5 billion. Rising funding rates combined with falling prices suggest an overleveraged market. Analysts warn that aggressive sellers dominate the market, while spot-driven selling pressure is increasing.

Another analyst, Ted Pillows, drew attention to Sol Strategies, one of the largest Solana treasury firms, which has faced a steep decline in value. According to his comments, the firm’s stock has fallen 63% after its CEO resigned, adding more uncertainty to Solana-linked assets.

Technical Levels Under Scrutiny

Chart data shows that Solana’s price action has formed a possible inverted V pattern on the daily timeframe. This structure signals more downside if the $200 level does not hold. Analysts suggest a drop toward the $155 area could be possible, while the weekly chart shows a double-top formation that points to $120 as a longer-term support level.

The relative strength index has dropped from 69 to 37 since mid-September, showing bearish momentum is still in place. At shorter time frames, however, the RSI is moving into oversold conditions, which could allow a brief rebound. Trading volumes have reached $10 billion in the past 24 hours, underlining the importance of the $200 level.

Network Metrics and Institutional Activity

DefiLlama data shows that Solana’s total value locked in DeFi protocols has fallen 16% in the past week. Daily transactions also declined by 11% over the same period, pointing to weaker on-chain activity.

At the same time, Solana’s decentralized exchange trading volumes remain strong, even with a 7% weekly decline. Projections show volumes could reach $128 billion by the end of September, indicating that ecosystem activity is not entirely slowing.