Karla Barker 
Solana price dropped roughly 5% from its July 27 high near $77, falling to $73 on July 28. The move came as buying pressure failed to hold short-term support, triggering a wave of long liquidations.
Liquidations accelerate decline
According to CoinGlass data, the slide cut through several leveraged trading zones between $75 and $73. The three-day liquidation heatmap shows a bright band of liquidity around $72.40–$72.70, with additional clusters near $73.80–$74.20. This suggests that short-term price action could remain choppy. A break below $73 might draw Solana toward the lower liquidity pool, while a quick bounce could target the accumulated positions near $74.
The selling seemed to be amplified by derivatives positioning rather than large institutional sell blocks. The data alone doesnâÂÂt confirm that kind of activity, but the order book imbalances are clear enough.
Technical chart remains bearish
On the 4-hour chart, Solana is stuck inside a descending parallel channel that has guided its price since the early-July peak above $83. The channel has produced a series of lower highs, including rejections near $79 and $77. Now, SOL is approaching the lower boundary, which sits close to $70. That level could become the next major support if $73 fails.
The relative strength index (RSI) on the 4-hour timeframe has fallen to 35.57, below its signal average of 47.33. Sellers control short-term momentum, though the RSI hasnâÂÂt yet entered the oversold zone below 30. Meanwhile, the daily average directional index (ADX) is at just 11.54. A reading below 20 typically indicates a weak trend. That leaves room for false moves around support. SOL could briefly sweep liquidity below $73 before recovering, especially if the selling pressure from liquidations eases.
Key levels to watch next
The first hurdle for buyers is $74. A move above that would allow Solana to challenge the $75 pivot, which has now flipped from support to resistance. A daily close above $75 would weaken the immediate bearish case. After that, bulls would need to clear $77–$78 and break above the descending channel to reopen a path toward the July high around $83.
If buyers fail to reclaim $75, SOL remains exposed to another test of the $72.50 liquidation cluster. Below that, the channel boundary near $70 becomes the next likely target. On the daily Murrey Math chart, the bottom of the broader trading range sits at $68.75. That level may provide stronger support if a breakdown below $70 develops. A deeper correction could extend toward the $62.50 pivot, but the low ADX reading doesnâÂÂt confirm such a move yet.
Macro backdrop adds uncertainty
US traders are also watching the Federal ReserveâÂÂs next policy decision. Interest-rate expectations and movements in the dollar and Treasury yields can affect demand for high-risk assets like Solana. Treasury yields eased on July 28, and oil prices fell as markets responded to renewed hopes for diplomacy in the Middle East. Brent crude traded below $87, and US crude near $81. That suggests SolanaâÂÂs latest decline is more closely tied to its technical breakdown and leveraged positioning than to a fresh rise in oil or yields. The Fed decision could still determine whether liquidity conditions help SOL recover $75 or push it toward lower support.