Solana (SOL) made an attempt to breach the $100 price level earlier this month, albeit without success. The asset has faced a price correction since then, falling to the $84-85 support level. According to CoinGecko data, SOL’s price has gained 0.3% in the last 24 hours, but is down by 11.7% in the weekly charts, 0.3% in the 14-day charts, 0.1% in the last month, and 47.7% since May 2025. Let’s discuss why Solana (SOL) is facing a price crash, and if the asset has a chance to rebound soon.
Why Is Solana Facing A Price Crash? Will It Rebound?
Solana’s (SOL) latest dip comes amid a larger market-wide correction. Bitcoin (BTC) fell to the $76,000 level after climbing to $82,000. Most other assets are following BTC’s trajectory. BTC’s dip is likely triggered by higher than expected inflation figures. Rising crude oil prices and high bon yields have risen concerns about the macroeconomic state. The development has led to a decline in the expectations of an interest rate cut. Higher rates could lead to Solana (SOL) and other cryptocurrencies continuing their downward trajectories.
On the other hand, the highly anticipated CLARITY Act cleared the Senate Banking Committee. Although the move is another step towards clearer regulations in the US, the legislation could face additional challenges. Solana’s (SOL) price could take another hit if the bill does not pass into law. Banking groups have asked for stablecoin yields to be prohibited, while some Senators have asked for more ethical language around people in power investing in cryptocurrencies.
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The cryptocurrency sector has struggled to gain steam since late 2025, after investors began a risk-off approach. With geopolitical tensions and macroeconomic worries seeing no end, there is a high chance that Solana (SOL) and the larger crypto market will continue on a sideways trajectory, if not face another dip.