Core Insights - Solana, along with other major altcoins, is experiencing significant pressure due to a prolonged selloff in the crypto market, with nearly 80% of its circulating supply currently at a loss [1][2] - The potential for panic selling is heightened as most holders are at a loss, with a major liquidation zone identified at a price point of $124.40, which could trigger forced closures of approximately $239 million in long positions [2][3] - Despite the current downtrend, there is a cautious optimism regarding the crypto market outlook, with upcoming macroeconomic events potentially leading to recovery if they resolve favorably [4] Market Dynamics - Solana's price has decreased by 0.3% in the last 24 hours, trading at $129.24, with only a 4% chance of reaching a new all-time high by year-end according to prediction markets [3] - Treasury companies focused on Solana are facing challenges, with their average market net asset value (mNAV) around 0.6, which may force them to liquidate assets to cover costs, further contributing to bearish sentiment [4] - Institutional accumulation into Solana exchange-traded funds (ETFs) remains strong, with a net inflow of approximately $719 million since their introduction, indicating long-term value despite daily price fluctuations [5] Investor Sentiment - Analysts suggest that large-scale liquidation events could cleanse the market structure, setting the stage for future accumulation [3] - The sentiment among some analysts is that current price levels do not warrant panic, emphasizing the importance of institutional investment trends over short-term price movements [5][6]