Solana (SOL) has once again fallen below the $80 mark. The asset tried to reclaim the coveted $100 price level in May, but without success. CoinCodex SOL statistics show that Solana is trading in the red zone across all time frames. The seventh-largest cryptocurrency by market cap has dipped 2.5% in the daily charts and 5.4% over the previous week. Let’s discuss if you should be worried about SOL’s latest crash.
Why Did Solana Fall Below $80?
Solana (SOL) last traded around its current levels in early April of this year. The latest price correction comes after the US and Iran peace talks did not come to fruition. Both countries have called for a closure of the Strait Of Hormuz. The development may push oil prices higher on a global scale. Such a scenario will negatively impact inflation figures.
Also Read: Oil Prices Surge after US-Iran Talks End, US Continues Strait of Hormuz Blockade
Solana (SOL) began its downward trajectory last month. Inflation figures for the US already came in higher than anticipated for April 2026. The latest US-Iran development could put additional pressure on the economy. The Federal Reserve may be pushed to keep interest rates unchanged. If the trend continues, the Fed may even decide to hike interest rates. Such a development could lead to Solana (SOL) facing additional sell pressure.
Should You Worry?
Solana (SOL) is one of the most resilient cryptocurrency assets in the market. SOL’s latest crash is undoubtedly concerning. However, it is no where close to SOL’s 2022 crash. SOL’s price fell to below $10 after the collapse of FTX in November 2022. SOL has made quite a recovery since its 2022 lows. The asset has hit multiple all-time highs in the years since.
Solana (SOL) may continue its bearish trajectory for the time being. The asset may not rebound until the larger crypto market improves. The crypto sector is currently dependent on larger macroeconomic developments. Until the US-Iran conflict concludes, the crypto market may not see much positive movement.