Fear Surges Ahead of U.S. CPI as Solana Risks Breaking Below $70

▲ Solana (SOL) / AI-generated image ©

Solana has fallen to the low $70 range, with analysts attributing the deepening weakness to a combination of fear ahead of the U.S. Consumer Price Index (CPI) release and mounting supply pressure.

According to CoinMarketCap on Feb. 12 (local time), Solana (SOL) declined 4.28% over the past 24 hours to $77.06. During the same period, the total cryptocurrency market capitalization fell 2.73%, while Bitcoin (BTC) dropped 3.64%. The Fear & Greed Index remained at 8, firmly in the “Extreme Fear” zone, as investors strengthened their risk-off stance ahead of the U.S. CPI announcement scheduled for Feb. 13.

As a high-beta asset, Solana tends to experience amplified declines when macroeconomic uncertainty rises. In the absence of clear positive catalysts, SOL moved in tandem with Bitcoin, exacerbating the broader market downturn.

Supply pressure has also been cited as a contributing factor to the weakness. The Alameda Research bankruptcy estate reportedly distributed approximately $15.6 million worth of SOL to creditors as part of its 21-month repayment process. In addition, a large wallet believed to be associated with Galaxy transferred 200,000 SOL—worth around $16 million—to exchanges including Binance, OKX, and Bybit, further intensifying supply concerns.

Technically, SOL is currently testing a key demand zone. The asset is attempting to hold support within the $78.07–$76.67 range, with $76.67 identified as a recent swing low. The daily Relative Strength Index (RSI) stands at 27.45, entering deeply oversold territory and raising the possibility of a short-term technical rebound.

The immediate pivot level is the defense of $76.67. If this level holds, analysts suggest a potential relief rally toward the $80 range. However, a daily close below $76.67 could accelerate losses back into the $70 territory. Market participants are closely watching whether buying pressure will emerge following the CPI release or if heightened fear will further increase intraday volatility.

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