In the last three days Solana ($SOL) suffered a acute collapse, just like the rest of the market. Altcoin recorded a loss of 12% on the weekly chart.
The decline was driven by a series of positive macroeconomic data from the United States, which raised concerns about a possible rebound in inflation. Such a scenario may delay the Federal Reserve’s plans to ease monetary policy.
The Department of Labor reported an unexpected enhance in the number of job vacancies in November, while another report showed an enhance in activity in the services sector in December. The data showed solid economic growth, pushing the 10-year Treasury yield to 4.699%, the highest level since April 26.
Following the release, Bitcoin fell below the $97,000 level, Ethereum fell below the $3,400 level, and Solana fell below the $200 level.
Moreover, a key date for SOL is approaching: the deadline for applications for approval of Solana’s Spot Exchange-Traded Funds (ETFs) to the U.S. Securities and Exchange Commission (SEC). On January 23, the SEC will decide whether to approve or deny Grayscale’s application.
According to Nicolai Søndergaard, an analyst at the research company Nansen, the spot ETF on Solana will debut on the market this year, the only question is when.
“The real unknown is the number of iterations needed to validate the proposal, as was the case with Bitcoin and Ethereum. However, I am convinced that a Solana ETF will definitely be created in 2025,” he said during an event organized in 2024 by Cointelegraph.
According to bets on Polymarket, the Solana spot ETF has a 74% chance of being approved in 2025.
Solana: The critical support level to watch is the $175 level
Analysts believe that investors are still in the mode “profit taking” before Donald Trump’s inaugural speech.
Immediately after the election of a pro-crypto candidate, the cryptocurrency market experienced explosive growth. Market capitalization has surpassed $3 trillion, and Bitcoin (BTC) has crossed the psychological threshold of $100,000 for the first time.
Solana hit a novel all-time high of $264, fueled by the belief that the Trump administration can usher in an era of cryptocurrency-friendly regulatory policies and spur greater adoption of the asset by conventional and institutional investors.
This narrative still holds true, which is why some analysts believe this decline represents an opportunity.
Meanwhile, if the Solana Spot ETF is approved, billions of dollars from retail and institutional investors could flow into the novel fund and assist push the altcoin higher.
For now, Solana’s latest move has partially reversed the bullish breakout of the flag pattern that has developed over the past month and a half. The recent three-day decline has brought the altcoin back into the consolidation zone, thus weakening the bullish momentum.

Currently, the key resistance to overcome in the coming days is $225, which is a key level if buyers want to regain control of the market.
However, if selling pressure continues, major support will be at $175. A break below this level could result in a acute pullback and bring the currency back below post-election levels.
Such a sturdy reversal of the bullish trend seems unlikely given that the macroeconomic factors that have pushed the SOL dollar to novel all-time highs continue to support solid growth in the medium and long term.
Solaxy (SOLX), the first layer 2 on the Solana blockchain
Meanwhile, investors are focusing not only on Solana, but also on the novel project: Solaxy (SOLX). This is the first layer 2 on the Solana blockchain.
The pre-sale exceeded all expectations and raised over $9 million.
Solaxy is not only a novel project in the cryptocurrency landscape, but aims to solve one of Solana’s main problems: the congestion of its blockchain. Using Layer 2 technology, Solaxy manages to improve Solana’s performance without compromising its integrity.
Transactions are processed via the Solaxy network, maintaining full compatibility with Solana, thanks to which the system can operate efficiently even during periods of increased activity.
Moreover, Solaxy is a multi-chain solution that aims to integrate and leverage the best features of both Solana and Ethereum.
The $SOLX token is also available in this function “Upcoming Tokens” novel Web3 cryptocurrency wallet The best wallet.