Solana Price Slips 8% as Active Addresses on the Network Drop: Can SOL Rebound Above the $200 Mark?

Highlights:

• Solana’s price has dropped 8% to $168 following waning market sentiment.
• The number of active addresses on the Solana network has plunged nearly 55% since November.
• The price of Solana has lost key support as the bears take over. Can Solana’s price rebound above $200 soon?

The Solana price has dwindled about 8% to $168 following the waning crypto market. The recent drop in SOL price comes as Solana-based meme coin LIBRA faces massive pump and dump, triggering an enormous selloff across all meme coins in this sector. Furthermore, on-chain data reveals a strong drop in network activity, showing that traders are moving.

A well-known crypto analyst, Ali Charts, has highlighted a significant downturn in activity on the Solana network. He has noted via X that the number of active addresses has plummeted from 18.5 million in November to just 8.4 million today. This marks a nearly 55% decrease, leading to negative sentiment around the Solana price action.

The number of active addresses on the #Solana $SOL network has dropped from $18.5 million in November to just $8.4 million today! pic.twitter.com/sXr1XWQrOz

— Ali (@ali_charts) February 18, 2025

Notably, the analyst has highlighted that the total volume transferred on the Solana network has dropped from $2 billion in November to only $26 million. The drop in both metrics raises concerns about the network’s current adoption and utility, sharply contrasting its previous activity levels.

SOL Statistical Data

Based on CoinmarketCap data:

• SOL price now – $168
• Trading volume (24h) – $5.79 billion
• Market cap – $82.26 billion
• Total supply – 594.38 million
• Circulating supply – 488.5 million
• SOL ranking – #6

Solana Price Outlook

The Solana price is at a critical juncture, trading around $168 after losing the $175 key support zone. The altcoin has dwindled like a dead weight in the air, forcing the bulls to lose momentum as the bears entirely take the reins. Solana’s price currently trades within the confines of a descending parallel channel.

If bullish momentum builds, the price could retest the first resistance at $183, a level aligned with the 200-day MA. A break above this could lead to further gains toward $211, the next key resistance aligning with the 50-day MA. Surpassing this threshold might enable a rally toward the $248 mark in the short term. 

On the downside, immediate support is visible at $162, close to current trading levels. A breakdown below this level may expose the price to deeper declines toward $141, triggering panic selling in the market. Nonetheless, if the price stabilizes above these supports and the RSI begins to recover, it might inspire a rebound, signaling a potential shift in momentum.

Can Solana Price Rebound Above $200 on the Wings of Bullish Momentum?

The altcoin’s journey toward reclaiming the $200 resistance hinges on building sustained bullish momentum. The $183 mark level, coinciding with the 200-day MA, represents a key turning point for buyers aiming to restore upward pressure. A breakout above $211 could signal renewed confidence, increasing the price.

Moreover, recent oversold conditions indicated by the RSI at 30.56 suggest room for recovery. With the Solana price in the undervalued territory, the bulls could initiate a buy-back campaign, causing a rebound above the $200 mark. However, buyers’ ability to overcome bearish sentiment depends on the path ahead.

The Moving Average Convergence Divergence (MACD) worsens the outlook as it upholds a sell signal. This is manifested as the Blue MACD line (-10.2755) has flipped below the orange signal line (-7.3865), signaling intense selling pressure. However, increased buying appetite at this level may cause the MACD to hurtle toward the positive territory, invalidating the bearish thesis.