Solana Price Faces 15% Drop Risk Amid Exchange Balances Surge

Solana's price has been experiencing volatility in recent weeks, with its value fluctuating between $87 and $91. Despite reaching a high of $91, the cryptocurrency is still down 26% since the start of the year.

The rise in exchange balances suggests that holders are positioning to sell their SOL coins, creating selling pressure on the market. This is further supported by the fact that experienced holder distribution has been increasing, with those holding SOL for over a year reducing their reserves.

While Solana ETF inflows have been steady, reaching $34 million in the first half of March, this may not be enough to absorb the growing selling pressure. If the price fails to hold current levels and falls below $87, the next target sits at $77, representing a 15% decline from current levels.