Solana (SOL) Price Dips Despite $1.25B Pantera Investment

Solana Under Pressure Despite Major Investment News

Solana (SOL) is experiencing renewed selling pressure, even after reports that Pantera Capital is seeking to raise $1.25 billion to establish a Nasdaq-listed Solana treasury vehicle. While this news could have acted as a bullish catalyst, a broader market downturn has overshadowed it, pushing SOL down nearly 10% in the last 24 hours.

Pantera's $1.25 Billion Bet Fails to Ignite Solana

As previously reported, Pantera Capital intends to raise $500 million from investors to convert a Nasdaq-listed entity into a publicly traded Solana investment vehicle called “Solana Co.” The funds will be used to acquire SOL tokens. Pantera has committed $100 million of its own capital and retains an option to raise an additional $750 million.

Despite this significant investment plan, SOL's price has remained subdued. The overall market decline has contributed to the coin's double-digit percentage drop. During this period, SOL's futures open interest has decreased by 11%, reaching $11.38 billion.

Open interest reflects the total number of outstanding derivative contracts, such as futures or options, that are yet to be settled. A decrease in open interest alongside a falling price suggests that traders are closing existing positions instead of initiating new ones, indicating diminishing market confidence or speculative interest.

The decline in SOL's price and open interest, despite the bullish narrative surrounding Pantera’s fundraising, suggests that bullish momentum is weakening.

Solana Bears Strengthen Their Grip

Technical analysis of the daily chart reveals a bearish crossover forming on SOL's Moving Average Convergence Divergence (MACD) indicator, suggesting potential for further losses in the near term.

The MACD indicator helps identify trends and momentum in an asset's price. A bearish crossover occurs when the MACD line (blue) falls below the signal line (orange), signaling a weakening bullish structure and growing bearish momentum.

Potential Scenarios for Solana: Slide or Soar?

Traders often interpret a potential MACD bearish crossover as a sell signal. Should selling pressure increase, SOL could extend its decline towards $171.88.

Conversely, if demand increases and bulls regain control, a rebound toward $195.55 is possible.