Solana attempted an upside move two days ago but was rejected at $144, triggering a retrace and a breach of $130 support.
As of press time, Solana [SOL] traded at $131, down 5.51% on the day. The dip to $129 offered an accumulation window that whales and institutions quickly used.
Solana whale steps in during the pullback
According to Onchain Lens, a long-term Solana whale withdrew 101,365 SOL, worth $13.89 million, from Kraken.
Source: X
After the latest transactions, the whale’s total Solana holdings jumped to 628,564 SOL, worth approximately $84.13 million.
Out of these holdings, 519,217 SOL is in the private wallet, and 109,348 SOL is staked for yield.
Such a move by the whale to expand positions during a market downturn signals strong confidence in the market. This suggests that the whale anticipates a market recovery, a clear bullish signal.
Institutions kept buying Solana ETFs
In addition to Solana whale accumulation, institutions have been on a buying spree this December. SoSoValue data showed Solana Spot ETFs posted Net Inflows for five straight days.
Since these ETFs went live in late October, they have recorded Net Outflows only three times, reflecting strong demand.
Source: SoSoValue
As a result, NET Total Assets climbed to $949.1 million, placing the group near the $1 billion milestone. Sustained inflows suggested institutions remained committed even as price action weakened.
Retail kept selling into weakness
Surprisingly, while Solana whales and institutions showed sustained demand, retail traders continued to close positions.
In fact, Spot Taker CVD turned positive for the first time in nearly two weeks. When this metric is red, it indicates Seller Dominance, meaning more selling orders than buying in the spot market.
Source: CryptoQuant
Coinalyze data backed the trend. Solana printed 1.31 million Sell Volume against 1.15 million Buy Volume on the 11th of December, leaving a Buy Sell Delta of –158.77k.
Heavy retail selling added downward pressure when whales and institutions were absorbing supply.
Source: Coinalyze
Momentum indicators stayed bearish
AMBCrypto’s analysis showed that accumulation from large holders had not offset growing retail sell pressure.
Source: TradingView
The SMI Ergodic Indicator formed a bearish crossover, sliding to –0.103, which aligned with weakening momentum.
At the same time, the EMA & MA crossover tightened bearish conditions. The MA fell to $135, while the EMA ticked higher to $136, showing ongoing short-term selling pressure.
Together, these signals pointed to sustained weakness. If selling persisted, SOL might revisit levels below $130, with $123 serving as the next notable support.
For buyers to reclaim control, SOL needed a flip of the EMA at $136 and a close above $146, a level tied to its last failed breakout attempt.
Final Thoughts
- Whales and institutions absorbed supply at lower levels, yet Solana’s momentum indicators still leaned bearish.
- Traders might watch the $130 zone closely as sentiment decides its next direction.