Solana holds in $73.67–$76.19 range as Morgan Stanley brings spot trading to E*TRADE

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Solana gains 0.71% today to $74.93

Highlights

Morgan Stanley's E*TRADE has introduced spot Solana trading for eligible clients, advancing institutional access and potential mainstream adoption.
Despite record real-world asset tokenization and rising institutional interest, Solana faces security concerns after a $580,000 DeFi exploit and $253 million in liquidations.
Technicals show SOL/USD trading below key moving averages, with indicators suggesting high downside probability and likely consolidation between $73.67 and $76.19.

Institutional access and protocol stress as E*TRADE lists Solana post-DeFi exploit

Morgan Stanley's E*TRADE platform launched spot trading for Solana, giving eligible clients institutional-grade access and potentially expanding both liquidity and mainstream adoption of the asset, according to Crypto. Recent challenges have included a $580,000 exploit of the DeFiTuna protocol on Solana, which triggered concerns over security and trust in its DeFi ecosystem, as reported by Cryptotimes. Additionally, major position liquidations amounting to $253 million on July 14 and the platform's surpassing of 300,000 wallets holding tokenized real-world assets, per Cointrust, frame the current market context as one of both increased institutional engagement and stress within the protocol environment.

Seller pressure persists as support holds and momentum remains negative

On the technical front, SOL/USD trades below the MA-20 and MA-50 on the working timeframe and remains well under the MA-200 on the daily, highlighting persistent seller pressure across timeframes. The Ichimoku Kijun at $74.5 is acting as immediate support, with price action hovering just above this level. Among indicators, the Moving Average Convergence Divergence (MACD) and Average Directional Index (ADX) are in strong negative territory, both marking ongoing weakness. The Relative Strength Index (RSI) reads 48.35 and remains in sell mode without entering oversold territory, while Stochastic RSI also indicates strong sell momentum. Some oscillator divergence exists: the Commodity Channel Index (CCI) and Bull/Bear Power both signal potential short-term buyer interest, with the Awesome Oscillator also flashing a buy, but these are outnumbered and outweighed by the broader set of negative momentum readings.

Sideways consolidation likely as technical reversal signals remain subdued

Over the next several sessions, SOL/USD is expected to consolidate in a band between $73.67 and $76.19, consistent with recent muted volatility. The likelihood of a bullish reversal remains low given prevailing technical weakness, while a breakdown below $73.67 would open the door for further losses. Conversely, reclaiming resistance near the upper edge of the current range would be required to challenge the short-term downtrend, but for now, sideways movement in this price corridor is the base case.

Viktoras Karapetjanc, expert at Traders Union, sees Solana’s market structure as resilient despite ongoing technical and security setbacks. He believes institutional expansion, seen in Morgan Stanley’s E*TRADE launch, strengthens the long-term fundamental case for SOL. Short-term technicals still reflect weakness, but a stable price band suggests accumulation and growing interest. "Continued institutional participation and real-world asset tokenization give me confidence that Solana is positioned to rebound when macro conditions stabilize."

Earlier, analysts noted that Solana was exhibiting persistent technical weakness despite positive ecosystem and institutional developments. Fresh momentum readings and recent protocol stresses reinforce the cautious outlook, with potential for renewed downside if support at $73.67 fails to hold in the near term.

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

The information is based on forecasts and does not constitute investment advice or a guarantee of future results. Market conditions may change. See our Disclaimer and Editorial Integrity for details.