Solana faces $70 risk as demand weakens
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- Solana (CRYPTO:SOL) fell 1.47% to US$72.55 on 3 August as spot buying remained weak.
- SOL traded below key moving averages, while capital flows indicated selling pressure continued to outweigh demand.
- A break below US$71.49 could put US$70 in focus, while recovering US$75.06 would improve the technical setup.
Solana (CRYPTO:SOL) fell 1.47% to US$72.55 on 3 August, extending its retreat from July's high near US$82.50.
SOL briefly fell below its lower daily Bollinger Band at US$71.49 before recovering, while US$75.09 shifted from support to resistance.
“$SOL is bouncing back. But spot demand is flat. Sign of weakness,” analyst Ted Pillows said.
The four-hour Chaikin Money Flow reading fell to -0.17, indicating capital outflows continued to outweigh inflows during the measured period.
SOL remained below its 20, 50, 100 and 200-period moving averages, with the strongest overhead technical barrier around US$76.79.
A confirmed break below US$71.49 could put US$70 in focus, followed by June support near US$67.50, according to the analysis.
Separately, proposed Solana fee-burn and disinflation changes could remove a projected US$1.36 billion in token issuance over six years if approved through governance.
At the time of reporting, Solana price was $73.62.
