Solana under risk-averse market corrections – Elliott Wave analysis shows $96 support

Solana (SOL) experienced significant price declines in recent days, driven by increasingly risk-averse market dynamics. The altcoin markets came under heavy selling pressure, causing SOL to fall well below the psychologically important $100 mark. Currently, Solana is trading at $79.68 (as of 11/02/2026) with a 24-hour decline of 4.09%, while its market capitalization stands at $45.24 billion—a substantial drop from its year-to-date high. The altcoin is losing market share as the overall cryptocurrency market capitalization stagnates.

The price correction occurs during a phase dominated by global risk aversion in the financial markets. Source: TradingView

Massive Liquidations and Economic Uncertainty Fuel Risk-Averse Sentiment

The sell-off was triggered by several factors. Leveraged bullish positions worth over $165 million were liquidated, significantly increasing selling pressure. At the same time, macroeconomic uncertainty intensified due to multiple concurrent crisis signals: silver prices collapsed by 26%, tensions in Iran escalated, and the tech sector underwent massive restructuring—Amazon announced layoffs of 16,000 office workers.

These factors created a risk-averse market environment, prompting investors to systematically flee riskier assets. The broader market accelerated this movement: technology stocks such as Unity, AppLovin, Figma, and HubSpot lost over 30% in value within 30 days. Precious metals, typically considered safe havens, were also sold off—gold fell by 13%, silver by 26%—a strong signal of market panic beyond cryptocurrencies. Source: laevitas.ch

Elliott Wave Impulse Pattern in Phase (3)—Technical Supports in Focus

Technical analysts interpret the current price formation as an Elliott Wave impulse pattern in its most aggressive phase, known as wave (3). According to crypto expert More Crypto Online, SOL is following a classic sell-off pattern characterized by high volatility, strong trading volume, and stop-loss sales.

The critical support level has been identified at $96—a zone the price briefly touched during the sell-off. This marks the primary downward zone. Secondary resistances are at $119 and $110, where market participants expect stabilization attempts. Bitcoin plays a key role here: as long as BTC struggles to hold the $80,000 level, SOL remains under pressure. Source: X

Oversold Indicators Suggest Potential for Rebound

Technical indicators signal oversold conditions that could, in the medium term, open up recovery potential. The Relative Strength Index (RSI) stands at 34.41—well into the oversold territory (below 30 is considered extreme oversold). Solana is trading near the lower Bollinger Band, a classic sign of extreme price weakness.

The short-term outlook remains neutral to bearish, with a target of $105–110 if Bitcoin continues to stay weak. A break above $110.56 could trigger a rally to $130–145 within the next 4–6 weeks, with an estimated probability of about 60%. Conversely, a breakdown below $110.56 would activate the $96 support as a target. Investors should pay close attention to risk management and position sizing in this risk-averse environment, as technical levels may be broken if market risk aversion persists. The stabilization largely depends on whether the global economic sentiment improves.