Solana drops 15%, hits 2-year low: Can SOL bulls hold $70?

The cryptocurrency market extended its decline, with total capitalization falling to $2.2 trillion. Altcoins, particularly Solana [SOL], suffered steep losses.

Solana dropped 15%, breaking below $70 and hitting a two‑year low of $67 before rebounding slightly to $81.6. At the time of writing, SOL was trading at $80.78, down 10.44% on the daily charts.

At the same time, its market capitalization fell below $50 billion, indicating substantial capital outflows. 

Solana whale fully liquidated amid market dip

Amid this downside volatility, whale investors in the futures market, especially those taking long positions, experienced forced liquidations.

According to Onchain Lens, a whale got completely liquidated on its SOL long position, losing $6.7 million. Overall, the whale lost over $16 million during the current market decline. 

Significantly, this whale is not an isolated case. In fact, over $167 million in long positions were liquidated between February 5 and 6. 

Usually, forced selling exerts immediate selling pressure on the market, further accelerating the asset’s downward momentum. 

Thus, these liquidations exacerbated market stress, causing Solana to decline further, particularly given the current market weakness. 

However, in response to this liquidation threat, investors have changed strategy and increased short positions. According to CoinGlass data, the Long Short ratio fell below 1 to 0.96 at press time.

A ratio below 1 indicates that most traders across all exchanges have taken short positions, anticipating further losses. However, Binance and OKX remain among the top traders, with the Long-Short ratio averaging 3.0.

Is SOL’s bottom in yet?

Solana declined further as forced selling in futures markets created additional selling pressure on an already weakened market structure.

At the same time, the altcoin jumped back above $80, as investors took the slip below $70 as an opportunity to buy the dip on the spot.

As such, the altcoin’s Netflow dropped to November 2025 levels, falling to -$101 million on the 5th of February. Notably, over $7 billion worth of SOL flowed out of exchanges, a clear sign of aggressive spot accumulation.

Despite this, the purchases have remained insufficient to offset market conditions, and sellers have retained complete control. In fact, the altcoin’s Relative Strength Index (RSI) fell deeper into the oversold zone, dropping to 21 as of writing.

With momentum indicators dropping to such a level, this suggested strong downward momentum, with buyers entirely displaced. Equally, it indicated a potential continuation of the prevailing trend.

Therefore, if these conditions persist, SOL could drop again below $70. For a trend reversal, buyers must keep up and reclaim the altcoin’s Parabolic SAR at $103.

Final Thoughts

• Solana crashed to a 2-year low of $65 before rebounding to a high of $81. 
• Solana whale was fully liquidated on its Sol long positions, resulting in $6.7 million in losses and raising total losses to $16 million.