Solana (SOL) crashes to $61 as ETF outflows and $1.5B liquidations hit
Solana (SOL) sold off sharply, sliding to about $61 on June 6—its lowest level since Nov 2023. The move follows a surge in forced selling: more than $50M in SOL long positions reportedly faced liquidation, while the broader crypto market saw over $1.5B liquidated in 24 hours, mostly from longs. SOL is down over 4% in 24 hours, about 24% on the week, and roughly 50% since the start of the year.
Traders point to weakening institutional demand alongside derivatives stress. U.S. spot Solana ETFs reportedly flipped to net outflows after a period of inflows. Separately, Forward Industries transferred 455,784 SOL to Coinbase Prime (about $31.9M); it may not confirm a sale, but large venue transfers often raise liquidation risk.
Technicals are deteriorating too. SOL RSI reportedly fell to 15 (deep oversold), and traders are watching key levels: $60 near-term support, then ~$51.50 on the weekly chart (a break could bring attention to $50). A liquidation/leveraged cluster between $70 and $75 may cap rebounds.
For traders, the combination of SOL ETF outflows, heavy liquidation pressure, and extreme oversold signals keeps downside volatility elevated near support.
Bearish
The news flow is net-negative for SOL in both the short and near-term. ETF outflows signal fading institutional bid, while derivatives stress is tangible: large SOL long liquidations and broad crypto liquidation totals increase the odds of additional forced selling and volatility around support. Technically, SOL is deep oversold (RSI ~15), but oversold conditions do not automatically mean a sustained bottom—breaks of $60 and then the weekly ~$51.5 support could accelerate momentum selling. Resistance is also suggested by a leveraged/liquidation-heavy band at $70–$75, which may limit rebounds until liquidity improves. Longer term, recovery would likely require ETF inflows to resume and liquidation pressure to cool; until then, the risk/reward for longs remains challenged.