As we approach September, Solana (SOL) faces a turbulent path, with significant on-chain metrics and technical patterns hinting at potential price corrections. Despite showing an impressive 50% annual growth, Solana’s performance in September could be at risk based on historical trends and market factors.
Solana Price Trends and Metrics
Solana’s price currently hovers around $205, down 4.5% in the past 24 hours but still maintaining a 13% monthly gain. However, one key metric, the percentage of supply in profit, has reached a six-month high of 96.56%—a level that has historically preceded price corrections. For example:
- On July 13, when this metric hit 96%, Solana’s price dropped 23% from $205 to $158.
- In mid-August, a similar pattern led to a 12% correction from $201 to $176.
- Again, on August 23, with a 95.13% metric spike, SOL experienced an 8% drop to $187.
Currently, the metric has eased to around 90%, but with the number of SOL tokens returning to exchanges—up over 32 million as of August 28—the selling risk remains high for September.
Technical Analysis: Bearish Patterns Ahead?
Solana’s price is moving within an ascending wedge pattern on the weekly chart. Commonly, this signals decreasing momentum, with the potential for a bearish breakdown. Key support levels include $195 and $182. If breached, the price could slip to $160—a potential 15-20% correction.
For bullish recovery, a weekly close above $217 is crucial. This price point would negate the bearish wedge and open pathways toward higher targets. Until then, the risk of downside pressure remains significant for SOL holders.
Historical Trends and Seasonal Outlook
Interestingly, September has historically been a positive month for Solana, delivering gains of 29% in 2021, 5.3% in 2022, and 8.2% in 2023. However, 2025 may challenge this trend, given the current bearish market signals.
How to Approach the Solana Market
While the price outlook for Solana in September leans bearish due to high selling risk and technical patterns, investors can use this period to consider diversification or take advantage of short-term trading opportunities on reliable platforms like Coinbase or Kraken.
One way to stay updated is through market-focused newsletters. For example, the BeInCrypto Daily Newsletter offers insights on Solana and other altcoins to help you navigate volatile markets efficiently.
Conclusion
With Solana facing potential price corrections in September, staying informed about on-chain metrics and broader market trends is crucial. While historical performance provides reasons for cautious optimism, the current setup calls for vigilance, especially for short-term traders and long-term investors.
