Solana Price Forecast – SOL Likely to Drop to $100 In the Short Term

Highlights:

• Solana is trending towards $118.30 support intra-day
• Solana could drop to $100 if the support is broken 
• Risk-off sentiment across the market could push Solana to $100 soon

Solana (SOL) is in the red today, reflecting the selloff across the cryptocurrency market today. When going to press, Solana was trading at $124.44, down by 3.40% in the day. However, Solana intra-day volumes surged by 14.18% to $2.92 billion. 

Rising volumes on a day that the price is going down could indicate that short sellers are increasingly taking their positions in anticipation of more downside for Solana. Such expectations are unsurprising considering the prevailing macro environment, which does not favor high-risk assets. 

Interest Rates Could Push Solana Price Lower

The US Federal Reserve will announce interest rate direction tomorrow, March 19. The market is already in consensus that rates will remain elevated at around 4.25%. Remaining high for longer means that investors will continue to push capital into low-risk assets such as government paper. 

The market has been ranging for over a week for one reason:

Everyone's waiting for Powell's FOMC announcement tomorrow

If he gives even a hint of dovishness, expect Bitcoin to explode upward

This is the volatility trigger we've been waiting forpic.twitter.com/eZQ91qg1Oh

— Budhil Vyas (@BudhilVyas) March 18, 2025

As such, cryptocurrencies, especially altcoins, which are known for their extreme volatility, could see their prices keep going lower in the short to medium term. Besides the low interest in altcoins, Solana has added an extra layer of uncertainty with a controversial ad.

Solana Ad Draws Controversy – Could Add to Bearish Sentiment

Yesterday, while promoting its first American conference, the Solana Foundation made an ad that has generated controversy around gender issues. The ad portrays a man called America seeking therapy. The therapist is keen on pushing America away from innovation and science and focusing more on gender issues. America, frustrated, fires the therapist before the ad announces America is back while making a note of the upcoming conference. 

This ad has created controversy, with some arguing that queer people are among the biggest contributors to blockchain innovation. As such, an ad that takes a jab at them while pandering to the right-wing could be in bad taste. However, the biggest issue is that as the debate rages on, risk-averse investors could stay away from Solana until things cool down. This could see the price head lower, especially when considering that the broader cryptocurrency market is already in a period of weakness. 

Took them 9 hours to delete it.

Also all the major players in the Solana ecosystem suddenly delete their tweets promoting/supporting the ad and RT’d and liked takes about it being bad.

They approved this, supported it and celebrated it.

They rolled it back because it hurt… pic.twitter.com/kPMERDpTcn

— Adam Cochran (adamscochran.eth) (@adamscochran) March 18, 2025

Memecoin Excitement Dies Down – A Blow for Solana

Solana’s downside move could also be accelerated because the excitement around memecoins appears to be dying out. This is mainly due to the poor market conditions, and the memecoin space is increasingly full of rug pulls, where investors lose millions of dollars a day.

Meme Coins Are Dead, Bro
DCA Tech Altcoins Are the Real Degen Move

Listen up, degens. The meme coin game’s been running on fumes for way too long. You’ve seen the waves – $Shiba, $Doge, some random-ass cat coin, whatever. They pump, they dump, they leave you rekt or rich for… pic.twitter.com/C1Sw6sDYwS

— Akira ☯️ (@DeFi_Akira) March 17, 2025

Considering that Solana derives most of its trading activity from memecoins, the slowdown could also see the excitement around Solana as an investable asset drop. The same is reflected in the continued Solana correction since it reached its all-time high. 

Technical Analysis – Solana Price Trending Towards Support

After a brief rally between March 11 and 15, Solana hit strong resistance at $136.09 and failed. Solana is now trending towards the $118.30 support. If bears are strong enough to push Solana through the $118.30 support, then a price correction as low as $100 could follow. 

However, if there is a rebound across the broader cryptocurrency market, the key level to watch would be the $136.09 resistance. A rally through the $136.09 resistance could see Solana rally to around $178.57 in the short term. Of these two scenarios, Solana has more potential for a downside in the short term. That’s because of the risk-off approach across the market.