SOL Drops Under Key Support, Marking Its Lowest Level in Three Years

Solana’s SOL Falls Below Realized Price for the First Time Since 2022

Solana’s SOL took a hit on Monday as a broad crypto market sell-off drove the token down by 8% to $124, marking its first drop below the realized price of $134 since May 2022.

The realized price—representing the average cost basis of all SOL tokens last moved—serves as a key on-chain metric. With the current market price now below this level, the average investor is in a loss position, potentially fueling panic selling and further downside pressure.

The decline comes as Solana validators deliberate over SIMD-0228, a proposal that would cut the network’s annual inflation rate from 4.7% to approximately 1.5%, a move that could impact long-term token supply dynamics.

Technically, SOL is following a descending channel pattern, with resistance now at $130 and $134 (its former support level), while key support levels are at $120 and $115. If $120 holds and SOL manages to reclaim $128 with strong volume, a potential rebound toward $134 could be in play as buyers look for a recovery opportunity.