Solana (SOL) has struggled to maintain its bullish momentum, shedding 9.3% in the last 24 hours to a low of $166, marking its lowest level since mid-December.
The latest downturn follows controversies in Solana-based meme coins, particularly LIBRA, which collapsed after being endorsed—and later disowned—by Argentine President Javier Milei.
The fallout has triggered broader market panic, compounding Solana’s struggles as the blockchain faces a sharp decline in network activity.
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At press time, SOL was trading at $169.25, down 15% in the past week and 37% over the past month, indicating the sustained bearish sentiment surrounding the token.
AI predicts Solana’s price for March 1
Despite the ongoing volatility, Finbold’s AI-powered prediction tool has provided an updated outlook for its trajectory in the February 18 to March 5 time frame. Factoring in technical indicators and market data, the model forecasts an average SOL price of $170.38, a modest 0.04% decline from the current level of $169.25.
While the AI-generated average suggests little change, AI models offer contrasting outlooks for SOL’s price movement.
The most bullish forecast, generated by GPT-4o, anticipates an 11.48% rally, which could push SOL toward $190 in the coming weeks. This scenario hinges on a possible resurgence in Solana’s network activity, growing interest in a potential Solana ETF, and a broader market recovery.
However, Claude 3.5 Sonnet presents a bearish outlook, predicting a 10.09% decline that could send SOL tumbling to $153. This aligns with weakening on-chain metrics, including a 55% drop in active addresses since November and a drop in transaction volume.
Why Solana is under pressure
Beyond the controversies and declining network usage, Solana is set to undergo a major token unlock event, with 15 million SOL, valued at $7 billion, entering circulation between February and April. If demand fails to absorb the increased supply, SOL could face further selling pressure in the months ahead.
With key support at $162 in focus, all eyes are on whether Solana can recover from its recent slump or face further downside pressure heading into March.
Featured image via Shutterstock
