Cryptocurrency analytics firm Alphractal has expressed concerns about Solana (SOL) in its latest market assessment, citing significant liquidation risks due to excessive leverage.
According to Alphractal, Solana’s price is currently facing an unstable situation with liquidations clustered at critical levels:
- Short-term outlook: If the price of SOL reaches the $247 to $252 range, the bears are likely to face liquidations, creating potential upside pressure.
- Long-term outlook: The situation becomes more concerning as significant numbers of long positions are not being liquidated at lower price points, particularly around $210 and below $200. These levels present the highest concentration of liquidation risk among major exchanges.
Additionally, Alphractal highlighted a shprt position pool around $267, noting that if this is exceeded, it could impact volatility.
The firm said Solana is “less suitable for medium-term exposure” due to the combination of risks, and caution is advised for medium-term investors.
*This is not investment advice.
