$SOL, the seventh largest cryptocurrency by market capitalization, showed an insignificant surge of 0.8% on Wednessday. While the majority of major cryptocurrency rallied with easing geopolitical tension and Bitcoin rebound to $68,000, Solana price faced overhead supply at $85. However, the $SOL coin faced additional pressure as the network showcased a notable decline amid recent price consolidation. Will $SOL lose $80 again?
Crypto Jumps as US-Iran Tensions Ease
On Tuesday, the crypto market experienced a quick relief rally of 1.78% surge which raised its market cap to $2.34 trillion. The buying pressure follows comments from President Donald Trump as he expects the US to end the war with Iran in two weeks, Bloomberg reported.
noted that core goals appear largely met and suggested other nations might assume oversight of the Strait of Hormuz. Trump said it is possible that Iran could make a deal with the U.S. within this window, though he mentioned that the agreement with Tehran is not necessary to end this war. He also highlighted that the current Iranian leadership appeared more reasonable than the one in place before the conflict began.
The de-escalation of conflict between U.S.-Iran has bolstered a renewed recovery in the majority of major currencies including Solana.
While, the total volume locked on the $SOL network aligns with the price uptick today, the broader trend in metric shows weak conviction from investors. According to Defilama data, Solana’s TVL dropped from $7.62 billion to $6.31 billion in the last two weeks, registering a 17% loss. This drop suggests a reduced user deposits and liquidity across protocols on the network.
The capital shifting away from Solana’S DeFI protocol suggests waning retail interest which could lead to weak bullish momentum in price.
Solana Price To Kickstart Fresh Bear Cycle Within this Pattern
Over the past seven weeks, the Solana price witnessed a steady recovery from $67 to $97.6 as buyers gained dynamic support from an ascending support trendline. However, with the fluctuations of the middle east war, the $SOL coin reverts to $83 and gives a decisive breakdown from the support trendline shown in the chart below.
Interestingly, the pullback also revealed a bearish reversal within the formation of a falling channel pattern in daily charts. Since mid-September 2025, the Solana price has been actively resonating within the two downsloping trendlines.
Historically, a bearish reversal within the channel has led to a steep correction which could pull $SOL to $64.5, followed by $51.
The momentum indicator RSI at 43% accentuates a bearish sentiment in the market to support the potential downswing in price.
On the contrary, if buyers breach the overhead trendline at $85, the bearish thesis would get invalidated and kickstart fresh recovery.
