Solana Drops 11% as Elliott Wave Sell-Off Targets $96 Support

Solana (SOL) fell towards the $96 level on Sunday as a strong weekend sell-off pushed the altcoin markets lower. The decline pushed SOL below the $100 psychological zone, marking one of its steepest short-term pullbacks this month.

As of February 1, 2026, Solana is trading at $105.38, down 11.11% in the last 24 hours, with a 24-hour trading volume of $18.08 billion and a market capitalization of $59.56 billion, accounting for 2.26% of the total cryptocurrency market.

Key Downside Target Set At $96

Market analysts suggest the decline was largely technical rather than panic-driven. Crypto expert More Crypto Online mentioned on X that the SOL price action follows an Elliott Wave impulse pattern in wave (3), the most aggressive phase of the trend.

The critical support level was set at $96, briefly touched during the sell-off. Wave (3) patterns are usually associated with high volatility, high trading volumes, and stop-loss selling.

Solana experienced a sharp decline as $165 million in leveraged bullish positions were liquidated. Broader market sentiment turned risk-averse following macroeconomic concerns, including a 26% drop in silver prices, escalating concerns in Iran, and major tech layoffs, notably Amazon cutting 16,000 white-collar jobs.

These factors collectively fueled the recent SOL sell-off, pushing prices to their lowest levels since April 2025. The broader market added pressure, with multi-billion-dollar tech stocks, including Unity, AppLovin, Figma, and HubSpot, dropping over 30% in 30 days. Precious metals also fell, as gold slid 13% and silver crashed 26%, fueling risk-averse sentiment.

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Technical Indicators Signal Oversold Conditions

Solana’s price continues to be under pressure due to overall market weakness and leveraged positions. With Bitcoin struggling to maintain the $80,000 level, SOL is also under stress, with critical levels at $119 and $110 being closely watched.

A short-term bearish to neutral outlook is expected, with a target of $105-$110 if Bitcoin’s decline continues. A move back to $119 is expected if Bitcoin stabilizes.

Technical indicators also point to a cautious outlook. The RSI is at $34.41, with SOL being close to the lower Bollinger Band, indicating oversold levels.

A break above $110.56 could lead to a move to $130-$145 in 4-6 weeks, with a probability of about 60%, while a break below $110.56 could lead to a move to $96, the primary target on the downside.

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