Solana News Update: Solana ETF Investments Face Off Against Negative Technical Signals at the $166 Turning Point

Solana (SOL) has presented investors with a mix of results lately, as ongoing ETF investments and brief price rebounds have not been enough to drive the token to new record highs. Although institutional interest and technical signals indicate possible upward movement, persistent bearish trends and shrinking liquidity mean the journey to $220 is still highly uncertain.

ETF inflows for SOL, once a major source of optimism, are now showing signs of losing momentum. After reaching a high of $70 million in early November, net inflows fell sharply to $6.78 million by November 10, reflecting reduced enthusiasm from both retail and institutional investors, according to a Coinpedia analysis

. Bitwise’s ETF remains the leader in attracting new funds, while Grayscale’s GSOL trails behind, highlighting a split in demand for exposure, as the same Coinpedia analysis points out . On the other hand, some sources report a different picture: US spot ETFs saw $9.7 million in net inflows on November 5, marking six straight days of positive flows, according to CoinCentral . This contrast highlights the ongoing struggle between short-term buying interest and overall market caution.

Although Solana briefly bounced back to $163.45 from the $144 support level, its technical setup still leans bearish. The Relative Strength Index (RSI) is close to 40, and both the MACD and Awesome Oscillator (AO) remain in negative territory, signaling continued downward

, according to Coinpedia . A falling wedge pattern on the daily chart hints at a possible 22% surge to $200 if buyers can push past $166, but a drop below $144 could lead to a retest of $120 by December, as Coinpedia observes . The 50-day and 100-day exponential moving averages (EMAs), at $188 and $190 respectively, add to the bearish outlook, according to FXStreet .

Interest from both retail and institutional traders has picked up, with futures open interest (OI) climbing 2.73% to $7.64 billion and funding rates turning positive, as CoinCentral reports

. Short positions have been liquidated more than longs in the last 24 hours, indicating a shift in risk sentiment, according to CoinCentral . However, stablecoin liquidity on Solana has dropped 8.16% over the past week to $13.8 billion, raising questions about the network’s liquidity, as CoinCentral notes . Analysts suggest that if SOL can reclaim $166, it may aim for $172-$177, but losing the $160 level could see prices fall to $155 and then $148, as CoinCentral highlights .

Even with recent volatility, Solana’s ecosystem is still drawing institutional investment. More than $420 million in new institutional funds entered in early November, reflecting confidence in Solana’s Layer-1 technology and its growing DeFi sector, according to Coinpedia

. Growth is being driven by liquid staking platforms, decentralized exchanges, and NFT marketplaces such as Tensor and , as Coinpedia reports . Alchemy’s improved Solana infrastructure, which now offers archive calls 20 times faster and 99.95% uptime, further strengthens the network’s capacity to meet rising demand, according to Yahoo Finance .

The outlook for Solana depends on how these conflicting factors play out. While ETF inflows and ecosystem development point to underlying strength, falling liquidity and bearish technicals suggest a possible deeper pullback. Traders are watching the $165-$166 resistance closely, as well as whether institutional inflows can push the price above the 50-day EMA. For now, Solana is in a crucial consolidation period, and whether it breaks higher or lower will determine if 2025 brings a new record high or an extended downturn.

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