Neutral trade for Solana as KelpDAO $292 million cross-chain exploit unsettles sentiment

Traders Union
All News
Crypto News
Solana slides 0.32% to $84.65 today

Highlights

Tehran imposed renewed controls on the Strait of Hormuz, escalating geopolitical tensions that could impact regional digital asset sentiment.
A $292 million cross-chain exploit targeting KelpDAO heightened security concerns for Solana’s ecosystem after wXRP was deployed on the network.
SOL is expected to trade sideways between $80.50 and $88.00, with technical signals indicating low upside probability and a bearish bias.

Security risks and sentiment shift as geopolitics collide with Solana ecosystem moves

Tehran reimposed controls on the Strait of Hormuz in reaction to renewed U.S.-Iran tensions after a U.S. Navy seizure of an Iranian vessel, which was reported to coincide with developments affecting Solana. During this period, wrapped XRP (wXRP) was deployed on the Solana network. Separately, a $292 million cross-chain exploit targeting KelpDAO raised security concerns related to Solana’s engagement with external protocols.

Choppy price action persists as technical boundaries and neutral momentum converge

On the technical side, SOL sits just above the SMA-20 ($83.59) yet remains below both the SMA-50 ($85.88) and SMA-200 ($126.31). The Ichimoku Kijun level at $85.09 currently marks immediate resistance overhead. Among momentum indicators, ADX shows neutral and low strength, MACD reveals no clear trend, and both RSI and CCI suggest a neutral to slightly bearish bias. Stoch RSI indicates neither overbought nor oversold signals, while BBP reflects overbought intraday buyer dominance. The Awesome Oscillator points to mild upside, and price action has stayed near the session’s mid-range amidst moderate volatility and choppy, sideways movement.

Sideways outlook likely as key indicators and resistance cap upside risk

Looking ahead to the next five trading days, SOL is expected to fluctuate between $80.50 and $88.00, in line with typical volatility for this asset given the current price. The probability for a rise remains very low (less than 20%), as the weekly moving averages, MACD, RSI, and ADX continue to point bearish. The baseline scenario envisions price staying within a sideways corridor. A bullish scenario would require a breakout above $85.09, while a move below $83.50 could lead to further downside toward the lower end of the expected range.

Viktoras Karapetjanc, expert at Traders Union, views Solana’s current posture as resilient in the face of global tensions and recent exploit headlines. He sees the asset maintaining stability despite macro headwinds and temporary technical weakness. The analyst is encouraged by Solana’s network developments and believes sentiment may turn constructive should resistance at $85.09 break. Karapetjanc adds: "With macro risks contained and innovation ongoing, I remain constructive on SOL as long as it holds above $83.50."

Earlier, analysts noted that Solana was experiencing uncertain momentum and persistent sideways consolidation amid heightened security concerns and DeFi activity. The current environment reinforces this indecision, but escalating geopolitical tensions and new cross-chain vulnerabilities suggest traders should closely monitor for a potential breakout above $85.09 as an early signal of renewed directional movement.

Source of Data: SOL Price Analysis by TU

The analysis is based on a proprietary model combining technical, on-chain, and expert data. Not investment advice. See methodology

This material may contain third-party opinions, none of the data and information on this webpage constitutes investment advice according to our Disclaimer. While we adhere to strict Editorial Integrity, this post may contain references to products from our partners.