Solana saw its price drop nearly 9% after a major exploit on the Drift Protocol, which resulted in losses of around $285 million—one of the biggest hacks in the network’s history.
The token fell to an intraday low of $78.6 on April 2, pushing its market capitalization down to roughly $45.5 billion. Over the past week, SOL has declined by more than 10%, making it the worst-performing asset among the top 10 cryptocurrencies.
The sharp decline was largely driven by concerns over the security of decentralized finance platforms on Solana following the exploit. At the same time, broader market weakness added further pressure, as escalating tensions between the United States and Iran pushed oil prices above $100, prompting investors to move away from riskier assets.
Institutional demand has also remained weak. Data indicates that spot Solana ETFs have seen minimal inflows in recent days, reflecting cautious sentiment among large investors.
Technical outlook
From a technical perspective, Solana continues to trade within a descending channel pattern that has been in place since mid-March, typically signaling ongoing bearish momentum with lower highs and lower lows.
Indicators suggest further downside risk in the near term. The 20-day simple moving average has crossed below the 50-day SMA, forming a bearish crossover. Meanwhile, the Chaikin Money Flow index remains in negative territory, indicating capital outflows from the asset.
For now, the $75 level stands as a key support zone to watch. A decisive break below this could accelerate losses. On the upside, a move above $93 would be needed to invalidate the current bearish trend and signal a potential recovery.
