Solana breaks below $74 as analysts flag $50 downside risk

Solana fell to a 31-month low near $60 as a $31.9 million whale transfer to Coinbase Prime and a reversal in ETF flows intensified selling pressure across the altcoin market.

Solana fell 4% to $62.10 as of 11:00 UTC on June 7, breaking below the $74 support level that had anchored price action since late 2023, with analysts warning that a sustained breakdown could expose the token to the $50 region.

"I am almost certain SOL is heading back to retest $67-$58 once more before reversing into $120-$175 this year," Jack Adams, a cryptocurrency analyst, said. Adams identified the $58-$67 band as a potential accumulation zone for long-term investors despite near-term weakness.

Forward Industries moved 455,784 SOL worth $31.9 million to Coinbase Prime after a month of inactivity, according to Lookonchain data. The firm has spent roughly $1.59 billion acquiring 6.83 million SOL at an average price of $232 since adopting a Solana treasury strategy in September 2025, leaving its current holdings worth about $458.6 million — an unrealized loss exceeding $1.3 billion. U.S. spot Solana ETFs recorded net outflows after several weeks of inflows, SoSoValue data shows, while more than $1.5 billion in crypto positions were liquidated across exchanges in the past 24 hours, with long traders accounting for most of the losses.

A decisive breakdown below the $60 level could expose Solana to the $51.50 support zone — a level that served as a breakout point in late 2023 — with the psychological $50 mark as the next downside target. CoinGlass liquidation heatmap data shows the largest concentration of leveraged positions between $70 and $75, now functioning as overhead resistance, while a major short-liquidity cluster near $89 could attract price during any recovery attempt.

Whale Activity and Institutional Flows Weigh on Price

The Coinbase Prime deposit does not confirm an outright sale, but traders monitor transfers to institutional trading venues for signs that large holders may be preparing to reduce positions. The transaction arrived as Solana traded near its lowest levels since November 2023 and reinforced concerns that other treasury holders could also move to protect capital if market conditions worsen.

Outside crypto, financial markets have become increasingly defensive. A stronger-than-expected U.S. jobs report reduced expectations for Federal Reserve rate cuts, while rising Treasury yields prompted a rotation away from speculative assets, weighing on altcoins across the market. Solana's Relative Strength Index has declined to 15, firmly in oversold territory, confirming seller dominance while indicating buyer exhaustion, according to TradingView data.

Support Levels and Liquidation Dynamics

Weekly chart analysis shows Solana testing support near $51.50 — a price level that previously functioned as a significant breakout point in late 2023. Should that floor fail, the psychologically important $50 level emerges as the next critical downside target. Below the market, CoinGlass data shows relatively limited support compared with the large concentration of positions overhead, increasing the risk of an accelerated move if sellers force another breakdown.

On the upside, the largest concentration of short liquidity sits near $89, where a substantial number of short positions are located. If Solana begins to recover, this area could become a key target as rising prices force short sellers to close positions. However, the token would first need to reclaim the former support area near $70 before challenging the heavy liquidation cluster between $74 and $75.

This article is for informational purposes only and does not constitute investment advice.