Solana started 2026 with a sharp 20% rally, but momentum faded quickly on the 25th of January. Price dropped nearly 16% after failing to reclaim the $145 resistance, sliding toward the $126 zone. That rejection marked a clear shift in short-term structure. Buyers lost control as SOL revisited prior support levels.
The move highlighted how quickly sentiment flipped once upside continuation failed. As of press time, Liquidation Heatmap data showed two dominant clusters around $123–$126 and above $130. Those zones suggested downside liquidity remained active before stronger support emerged near $117–$119. CoinGlass data revealed a disturbing trend: Open Interest (OI) rose from $6.6 billion in late December to over $8.8 billion in January, but the price kept falling.
This isn’t a bullish signal. The increase in OI while the price plummeted showed that bears were controlling the market. If open interest rises and the price continues to tank, it’s clear the bulls are nowhere in sight. Even as Solana tumbled, staking activity surged to an all-time high of 70%, with over $60 billion worth of SOL staked.
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