Solana charts flag double top and bear flag, targeting $60 drop

Solana fell 1.2% to $73.86 as of 04:00 UTC, with its four-hour chart forming a double top and bear flag targeting a decline to $60–$61.

"The double top at $80 followed by a bear flag consolidation is a textbook continuation setup," pseudonymous analyst Rekt Capital, who has 500,000 followers on X, said. "A breakdown below $73 would confirm the measured move toward $60."

The bearish setup contrasts with Solana's record in tokenized equities. On June 20, spot DEX volume for tokenized stocks hit roughly $220 million, with Solana accounting for nearly 99% of the total, according to Dune Analytics. That dwarfs the $20 million to $60 million in daily volume recorded across most of the year. Yet daily active addresses on Solana have halved to about 2.55 million from a February peak of 5.5 million, Santiment data shows, suggesting the volume spike reflects concentrated activity rather than broad network growth.

The $80 level now acts as resistance — a bearish retest of the broken rising channel's lower band that Solana traded inside for most of 2026 before breaking down in early June. A rejection at $80 keeps the daily trend pointed lower toward the $60 support zone, while a clean reclaim would weaken the bearish case and open room toward $100. The monthly Relative Strength Index at 41.84, its lowest reading on record, shows the depth of the momentum loss.

Double Top and Bear Flag Converge

The double top formed near $80 on June 20 and June 21, with the neckline at $73. The subsequent bear flag — a downward-sloping consolidation after a sharp drop — suggests sellers are reloading. The measured target sits at $60, a level that aligns with the June 9 low and represents a 19% decline from current prices.

Liquidations data from Coinglass shows $12.3 million in long positions were wiped out across centralized exchanges in the past 24 hours as SOL failed to hold above $75. Open interest has declined 4% to $1.8 billion, indicating that leveraged traders are reducing exposure.

Tokenization Boom Meets Shrinking User Base

The divergence between Solana's price and its on-chain adoption metrics is growing. While tokenized stock volumes surged on June 20 — driven by demand for trading equities like Tesla and Nvidia on-chain — the network's daily active addresses have fallen for five consecutive months. The monthly RSI at 41.84 is lower than any point during the 2022 bear market, when SOL traded below $10.

Solana's market share in tokenized assets could deepen liquidity and attract more issuers over time, but the near-term technical picture remains bearish. The $80 retest this week will likely determine whether SOL extends its 45% annual decline or stages a recovery.

This article is for informational purposes only and does not constitute investment advice.