SOL Token Drops 2% Amid Extreme Fear Despite Firedancer Launch and Strong Network Activity

Solana (SOLUSDT) experienced a 2.06% price decrease over the past 24 hours, currently trading at $126.86 according to Binance. This price decline is largely attributed to prevailing bearish sentiment following a recent technical bounce, continued "Extreme Fear" in market indicators, and weaker on-chain DeFi activity. Despite a notable leveraged long position and heightened trading volume reported across major exchanges, the overall trend remains cautious as SOL struggles to hold key support levels near $130. Additional factors influencing the market include the launch of new products like Firedancer and $wXRP integration, which have driven short-term rallies but have not reversed the broader downward momentum. Solana maintains strong network activity and ranks among the top cryptocurrencies, with a circulating supply of approximately 562 million SOL and recent market capitalization estimates near $70 billion.