Solana (SOL) fell from $101.36 to $95.84 after reports that the CLARITY Act — a U.S. digital asset market structure bill — failed to advance in the U.S. Senate, moving into a zone where 72 million SOL previously changed hands — an area analyst Ali Charts has identified as major support. Even through the correction, U.S. spot SOL ETF inflows, exchange withdrawals, and new address creation have continued to rise, leaving price action and demand-side data moving in opposite directions.

Price Tests Heavily Traded Support Zone

Per Ali Charts' analysis on X, SOL is testing a price area in which 72 million tokens previously changed hands, a level the analyst identified as significant support based on that earlier trading history. Zones of heavy prior turnover are closely watched in technical analysis because they mark price levels where large volumes were already transacted, leaving many existing holders with entries in the same area. SOL currently trades near $97.39; the latest candle opened at $97.26, reached a high of $97.40, dipped to a low of $96.90, and closed at $97.39.

The token had earlier traded between $100 and $104, repeatedly meeting resistance near $104–$105. After climbing to approximately $104.5 on September 15, SOL dropped below $102 and then below $100. The decline continued toward $96.2–$96.5 on September 16, with elevated volume during the breakdown, before the price consolidated near $97.

ETF Inflows Rise as Exchange Supply Falls

Ali Charts also reported nine consecutive weeks of net inflows into U.S. spot SOL ETFs, with more than $200 million entering those products during the past month. Spot ETFs hold SOL in a regulated U.S.-listed vehicle, allowing investors to gain price exposure through a standard brokerage account, and sustained net inflows indicate continued allocations through these products even as the token's price pulls back. Over the same period, more than 3 million SOL were withdrawn from exchanges, reducing the amount of SOL readily available on those platforms — a metric often tracked because exchange balances represent coins positioned for quick trading.

Network activity has remained elevated as well. According to Ali Charts, Solana recorded 12 million new addresses on September 11 and continues to generate roughly 10.8 million new addresses daily. New address counts are widely used as a gauge of fresh wallet activity, and the current pace points to continued onboarding throughout the price decline.

Momentum Remains Below Neutral

The chart on TradingView shows the relative strength index (RSI) at 38.61 against a moving average of 33.98. The RSI remains below the 50 neutral level, though its recovery from near-oversold territory reflects recent upward movement. The MACD remains negative at -1.01 versus a signal line of -1.07, while the histogram is slightly positive at 0.06, with both lines beginning to turn upward — a configuration technicians monitor for signs that downside momentum is cooling.

Key support sits around $96–$97, followed by approximately $95. Immediate resistance appears near $98 and $100, with stronger resistance around $102. A recovery above $100 would put the $102–$104 range in focus, while a break below $96 would expose lower support levels. How the $96–$97 band holds up, and whether the nine-week inflow streak and the pace of roughly 10.8 million daily new addresses persist, are the near-term data points to watch as the divergence between price and underlying activity plays out.

Source: Cryptofrontnews