Solana and Hedera price predictions as SOL, HBAR ETF inflows rise
Solana (SOL) and Hedera (HBAR) prices have significantly declined amid the ongoing cryptocurrency market crash, despite ETFs for both tokens receiving substantial investor inflows. Solana's price dropped by nearly 40% from its yearly high, and Hedera's declined by about 44%. ETFs like Bitwise Solana ETF and Canary Solana ETF have collectively seen over $284 million in inflows, while Bitcoin and Ethereum ETFs are losing assets. Technical analysis shows bearish trends for both tokens, with death cross patterns and descending channels. However, HBAR shows a potential bullish reversal with a double-bottom pattern, while SOL may face further declines if it does not reclaim key resistance levels.
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Overview of Solana and Hedera's Price Decline
Solana and Hedera prices have suffered significant declines amidst the ongoing cryptocurrency bear market. The SOL token is trading at $157, representing a nearly 40% drop from its highest point this year. Similarly, the HBAR token has plunged to $0.1708, which is a decline of about 44% from its year-to-date high. These downturns persist despite the SEC's approval for exchange-traded funds (ETFs) linked to these cryptocurrencies.
ETF Performance Amid the Crypto Market Crash
Despite the general crypto market meltdown, ETFs linked to Solana and Hedera have seen positive inflows. According to SoSoValue, spot Solana ETFs have recorded inflows every day since their approval. On Tuesday alone, they saw $14 million in inflows, bringing the cumulative total to over $284 million, while their total assets reached $488 million (~0.58% of all assets). - BSOL ETF (Bitwise Solana ETF) leads with over $400 million in assets. - Grayscale Solana ETF (GSOL) follows with $88 million in assets. Meanwhile, the Canary Solana ETF recorded $68 million cumulative inflows in the past five days, pushing its assets under management to over $60 million. This growth comes as Bitcoin and Ethereum ETFs, traditionally more dominant, have been shedding assets for the past five consecutive days.
Hedera's Price Technical Analysis
The daily timeframe chart highlights a steep decline in HBAR's price, which has fallen from a high of $0.3050 in July to the current level of $0.1700. Key technical observations include:
- Formation of a descending channel and proximity to its lower boundary.
- Emergence of a death cross pattern, where the 50-day EMA crosses below the 200-day EMA.
- A potential double-bottom pattern is developing at $0.1600, with a neckline at $0.2190. If this double-bottom pattern holds, a rebound may occur. However, if the price falls below $0.1600, the bearish outlook will solidify.
Solana's Price Technical Analysis
The daily chart of Solana's price shows a pronounced downward trend, dropping from its July peak of $253 to the current level of $150. Key highlights include:
- The coin broke below the ascending channel and retested it, confirming a break-and-retest pattern typical of continued declines.
- SOL has slipped under both the 50-day EMA and 200-day EMA, nearing the formation of a death cross pattern.
- It also breached the $171 support level, the lowest point in October. Moving forward, the most probable scenario involves a continued fall to $125, the lowest level in June. However, a rebound above $171 would invalidate this bearish prediction.