Solana holds KEY support despite $31.6M whale dump – Here’s how

Key takeaways

Is Solana attracting institutional investment despite whale selling?

Yes, Solana pulled in $291 million in institutional inflows last week, its second-highest ever.

Can Solana hold its momentum above $200?

Support around $200 remains strong, but unless bulls reclaim $215-$220, downside risk toward $190 still lingers.

Solana [SOL] has been on a roll lately.

Despite some mega whale selling, big money kept pouring in. Institutions bought Solana at a pace that brought in $291 million in inflows, the second-largest weekly haul in its history and the biggest among all crypto assets.

Whales keep selling, even on small pumps

On the 29th of September, a single whale offloaded $31.59 million worth of SOL, part of a growing trend of big players cashing out during every minor price uptick.

Grayscale also joined the action, selling 160.54K worth of SOL in one go. While retail may be piling in, whales are taking every opportunity to secure profits.

But can this stream of selling cap Solana’s momentum, or are the ongoing institutional inflows strong enough to outweigh the exits?

Solana outshines the rest

According to a recent CoinShares report, Solana’s recent performance stands out by a mile.

While Bitcoin [BTC] saw outflows of $719 million and Ethereum [ETH] bled $409 million last week, Solana pulled in $291 million; its second-highest inflow on record.

That is a complete reversal of broader market sentiment, which totaled $812 million in outflows across crypto. Even Ripple’s XRP, the next best performer, managed only $93 million in inflows.

With 16 consecutive weeks of positive flows and $1.8 billion YTD, Solana is possibly the strongest institutional magnet in the market right now.

Adding to this momentum, Australia’s first Solana treasury company, Fitell Corp, announced plans to expand its strategy by establishing a PUMP token treasury.

Just last week, it raised $100 million and purchased $10 million worth of SOL to launch its Solana DAT.

Key levels hold as SOL tests support

At press time, Solana traded at $206.66, down nearly 3% on the day. The chart showed SOL struggling to break past $210, while the VRVP indicated strong buying interest around the $200 level.

This makes it a crucial support zone.

This area had been tested several times but continued to hold. The RSI hovered near 44 and the MACD stayed negative, a sign of ongoing bearish pressure.

Unless bulls reclaim the $215-$220 range, downside risk will persist, with $190 emerging as the next major volume-backed support.