Karla Barker 
Solana’s price continued its downward spiral this week, dropping to levels not seen since November 2023. The altcoin briefly touched $61 before a slight recovery, and at press time it was trading around $62, down 4.6% on the day. This marks a 31-month low and represents a serious shift in market sentiment.
Institutional investors are pulling out
The sell-off appears driven by growing pessimism among institutional players. Solana spot ETFs, which had held positive net inflows for the past month, turned negative for two consecutive days. That’s a clear sign that even big money is now dumping their positions, which usually only adds to the selling pressure and deepens losses.
We’ve seen this pattern before. Back in March, when SOL ETFs started selling, the price fell from $91 to $81. So if history repeats itself, more pain could be ahead if institutions keep exiting. The increasing losses are perhaps the main reason for this bearish shift.
Losses are piling up for big holders
Take Forward Industries, for example. The treasury company is now down over $1.3 billion on its SOL bet. And it’s not alone. Other firms have also recorded significant losses, which is making everyone more cautious. In the last 24 hours, Solana DATs (delegated asset tokens) fell 29%, and the total value of SOL held dropped to $1.1 billion.
This kind of environment tends to create panic. When major players start taking hits, others follow, and the cycle feeds itself. It’s a bit messy right now.
Can SOL hold the $60 line?
Technically speaking, the downtrend is still strong. Solana’s Relative Strength Index (RSI) fell deeper into oversold territory, touching 15. That suggests bears are running the show and buyers have mostly stepped aside. Such extreme readings often signal the trend might continue, at least in the short term.
The market is now testing $60 as a critical support level. If it breaks, which seems likely given the elevated downside strength, the next stop could be around $53. Of course, nothing is guaranteed in crypto. But if current conditions persist, a drop below $60 wouldn’t surprise me.