Solana dropped to $73 on July 28 after losing the $75 pivot, and long liquidations between $75 and $73 deepened the slide. The 4-hour RSI has fallen to 35.57 without reaching oversold territory, while capital showed a preference for Ethereum.
Solana fell about 5% from a July 27 high near $77 to $73 on July 28 as a break below short-term support triggered long liquidations. The token traded near $73.20 at the time of writing, and its July 28 candle recorded a low of $72.86.
Buyers pushed SOL toward $77 on July 27 but failed to challenge the channel’s upper boundary or the wider $78 resistance area. Selling then accelerated once the token lost $75, a level that had supported several earlier intraday rebounds.
Capital showed a preference for Ether
SOL’s decline came as capital favored Ethereum. ETH recently reclaimed $1,900, while SOL remained trapped below its July resistance range. Crypto trader Daan Crypto Trades noted the pair was beginning to lose its horizontal support area, and added that Ethereum’s recent strength against Bitcoin had left Solana behind.
Long liquidations accelerated the sell-off
The three-day CoinGlass liquidation heatmap shows Solana’s slide cut through several leveraged trading zones between $75 and $73. That move likely forced leveraged long traders to close their positions, adding market sell orders to an already weak spot market.
Nearby concentrations now sit on both sides of the current price: a bright liquidity band around $72.40–$72.70, with additional clusters near $73.80–$74.20. Therefore a move below $73 may attract SOL toward the lower liquidity pool, while an initial rebound could target the accumulated positions around $74.
Weak momentum, but no confirmed breakdown
Solana’s 4-hour relative strength index has fallen to 35.57, below its signal average of 47.33, although SOL has not yet entered the conventional oversold zone below 30. On the daily chart the average directional index stands at only 11.54, and a reading below 20 normally indicates a weak trend, suggesting SOL is still consolidating rather than entering a confirmed directional breakdown.
Buyers first need to recover $74 to challenge the $75 pivot, which has flipped from support to near-term resistance. Failure to reclaim $75 would leave SOL exposed to another test of the $72.50 liquidation cluster, with the channel boundary near $70 the next likely target.
US investors are meanwhile awaiting the Federal Reserve’s next policy decision. That decision could still determine whether US liquidity conditions help SOL recover $75 or push it toward lower support.
Source: crypto.news
Trading involves risk.
Risk Disclaimer
