Solana slides as spot ETFs see first weekly outflows in 14 weeks

Solana faced renewed pressure yesterday as the wider crypto market declined, pushed down by rising crude oil prices. SOL additionally showed relative underperformance, as US spot Solana ETFs posted their first weekly net outflows, ending a 14-week inflow run.

A pullback in oil prices during Asian trading helped spark a reversal across risk assets, including cryptocurrencies. But the geopolitical backdrop remains largely the same: Houthi attacks on Saudi Arabia continue, and US-Iran talks are deadlocked. Unless the Federal Reserve adopts a more dovish stance, these factors may keep a lid on SOL's gains.

On the Solana-specific front, Samsung Wallet plans to enable USDC cross-border transfers on the Solana network across 82 million US Galaxy devices in the final week of October. That bolsters the longer-term adoption narrative, but the macro environment has been restricting price increases.

The key near-term catalyst is tomorrow's US CPI report. A core reading that comes in hotter than expectations could lead to a hawkish repricing and renewed selling pressure on SOL, while weaker data could give it a temporary lift.

Technical analysis for Solana on the daily chart

Solana broke below the major upward trendline, retested it, and moved lower. Sellers' natural target is the support zone around 97.00. If the price reaches that level, buyers are expected to step in, with defined risk below support, positioning for a rally to 148.00. Sellers, meanwhile, will want to see a break lower to add to bearish bets toward the major upward trendline.

Technical analysis for Solana on the 4-hour chart

A downward trendline defines the bearish momentum. Should a pullback occur, sellers are expected to lean on that trendline, with defined risk above it, to continue driving toward the 97.00 support. Buyers, conversely, need to push above the trendline and the 113.00 resistance to aim for new highs.

Technical analysis for Solana on the 1-hour chart

There is little to add here: sellers have a better risk-reward setup near the downward trendline, while buyers require a break above the trendline and resistance to enable new highs.

Upcoming catalysts

The US CPI report is due tomorrow. Thursday brings the US PPI, Retail Sales, and the latest Jobless Claims figures.