Solana Price Forecast: Pump.fun Selling Puts $78 Support Back in Focus

What to Know

• Solana has returned to the $78 support area after retreating in recent sessions.
• SOL has declined by 5% in the past 7 days but remains up 17% over the past month.
• That monthly gain still leaves Solana as the top performing token in the top 5 over that period.
• Pump.fun, a major Solana based memecoin launchpad, has continued selling SOL during the latest rally phase.
• The protocol sold $10 million worth of SOL yesterday, according to crypto analyst Ted Pillows.
• Pump.fun has offloaded $794 million worth of SOL since launch.
• Token Terminal data indicates Pump.fun generated nearly $20 million in fees last month.
• The platform extracts around $25 million on average from users launching or trading memecoins on the protocol.
• Since launch, Pump.fun has generated $1.1 billion in fees, according to Token Terminal data.
• The protocol website shows $406 million worth of PUMP has been burned since its burn program began.
• Technical traders are watching $78 as a key level, with a possible downside retest of $70 to $65 if support fails.
• The daily Relative Strength Index remains above 50, keeping bullish momentum alive for now.

Solana Slides Back Toward a Key Support Zone

Solana is back under pressure after a recent rally attempt failed to extend into a stronger breakout. SOL has slipped toward the $78 area again, a level that technical traders have treated as a key support zone during the current relief rally. The move comes after the token briefly pushed above an important resistance area, only to lose momentum as selling from one of the largest applications in the Solana ecosystem remained a dominant talking point.

The short term picture has become more fragile. SOL has declined by 5% in the past 7 days, showing that sellers have regained some control in the immediate trend. Still, the broader monthly performance remains comparatively strong. Solana is up 17% over the past month, which makes it the top performing token in the top 5 during that period. That contrast is important: the market is not dealing with a collapsed trend, but rather with a bullish rebound that is being tested by heavy supply and weakening follow through.

For traders, the question is whether the $78 area can continue to attract demand. If buyers defend it, SOL may have another opportunity to stabilize and attempt a renewed move toward the $90 level. If the level breaks, however, chart watchers are likely to reassess risk quickly, with the $70 to $65 zone becoming the next major area of interest in the near term.

Pump.fun Sales Remain a Central Market Concern

The main pressure point is persistent SOL selling linked to Pump.fun, the Solana based memecoin launchpad that has become one of the most closely watched protocols in the ecosystem. Market participants have focused on the platform because its fee model has generated substantial revenue, and a sizable portion of proceeds appears to have been converted into exchange based liquidity through SOL sales.

Crypto analyst Ted Pillows warned that Pump.fun continued offloading SOL during the rally. The protocol sold $10 million worth of the token yesterday, while its cumulative SOL sales since launch have reached $794 million. In a market where liquidity can thin quickly, especially during periods of uncertainty, such selling may have an outsized influence on price action. That does not mean Pump.fun alone determines SOL’s trend, but it gives traders a clear supply source to monitor.

The optics have also weighed on sentiment across parts of the Solana community. Some community members argue that the platform has extracted money from traders participating in memecoin launches and trading activity, while doing less to reinforce long term ecosystem growth. That criticism has become louder because Solana’s price action has struggled to sustain upside even during a phase when the token posted a strong monthly gain.

From a market structure standpoint, repeated exchange withdrawals and token sales can cap rallies by adding supply whenever demand improves. If buyers absorb that supply, price can still climb. If they do not, rallies may fade quickly, leaving support levels vulnerable. That is why the $78 area has become such a critical battleground for SOL in the short term.

Fee Generation Highlights the Scale of the Issue

On chain data from Token Terminal indicates that Pump.fun pulled in nearly $20 million in fees last month. On average, the protocol extracts around $25 million from users who use the platform to launch new memecoins or trade them. Since launch, it has generated $1.1 billion in fees, making it one of the most commercially significant applications associated with Solana activity.

The platform has also launched a token burn program tied to PUMP. That program is designed to use a large portion of fees to reduce the circulating market cap of PUMP. The protocol website shows that $406 million worth of PUMP has been burned since the program began. At the same time, the $794 million in SOL extracted and sent to exchanges points to a major parallel flow of realized liquidity.

When those figures are combined, the total reaches $1.2 billion, which sits close to the $1.1 billion in fees that Token Terminal data shows the protocol has produced since launch. This rough alignment has intensified scrutiny of how fees are being handled and how those flows may affect SOL itself. For Solana investors, the concern is not simply whether Pump.fun is profitable. The larger question is whether one of the ecosystem’s most important applications is creating a persistent headwind for the underlying token.

The relationship between application revenue and layer one token performance can be complex. Strong application activity can validate network demand, drive users, and improve ecosystem visibility. However, if large fee flows are regularly converted into sell pressure, the positive effect of activity can be offset by token supply hitting the market. Solana’s current setup reflects that tension clearly.

Can SOL Reclaim Momentum Toward $90?

Technical traders previously viewed a break above the $78 mark as an encouraging sign that Solana could be preparing for a more sustained advance toward $90. That scenario is not invalidated as long as buyers can defend the current support area, but confidence has weakened after the price returned to the same zone. A support retest after a breakout can be constructive if demand appears quickly. It becomes more concerning if price lingers near support while sellers remain active.

If SOL bounces from $78, the market could interpret the move as a second chance for bulls to regain control. In that case, the $90 area would remain the key upside target watched by technical participants. A recovery attempt would likely need stronger volume and a visible reduction in sell pressure to convince traders that the latest pullback was merely a shakeout rather than the start of a deeper retracement.

If $78 fails, the near term picture could shift. The next downside zone highlighted by chart watchers sits between $70 and $65. A move into that range would suggest that the market has not fully absorbed the supply coming from large sellers and that the recent rally lacked sufficient depth. It would also likely challenge the confidence of traders who entered after the prior resistance break.

Momentum indicators are still offering some support to the bullish case. The daily Relative Strength Index remains above 50, which suggests that bullish momentum has not fully broken down. However, if the oscillator drops below its signal line, technical traders may treat that as an early warning that the trend is shifting. In that scenario, the market could become more defensive, especially if SOL is also trading below $78.

Market Outlook for Solana

The Solana outlook remains balanced between strong longer term relative performance and immediate pressure from persistent token sales. The 17% monthly gain shows that SOL has still attracted meaningful demand, particularly compared with other major tokens. Yet the 5% decline over the past 7 days shows that traders are becoming more cautious as the token struggles to extend gains.

For now, the $78 level is the key line in the sand. A sustained hold could keep the recovery structure intact and reopen the possibility of a move toward $90. A decisive break would likely shift attention toward $70 to $65, where buyers may attempt to establish a stronger floor. Pump.fun related selling remains one of the most important variables because it affects both sentiment and available supply.

FXCOINZ market coverage will continue to watch whether Solana can absorb this selling pressure while maintaining its broader monthly strength. The next phase may depend less on headlines and more on whether buyers step in with enough conviction to defend $78. Until that happens, SOL remains vulnerable to another round of downside testing, even as the broader monthly trend keeps bulls from leaving the field entirely.

Frequently Asked Questions (FAQs)

Why is Solana under pressure right now?

Solana is under pressure because it has returned to the $78 support area while Pump.fun continues selling large amounts of SOL. The token has also declined by 5% in the past 7 days, showing weaker short term momentum.

How much SOL has Pump.fun sold?

Pump.fun has offloaded $794 million worth of SOL since launch. The protocol also sold $10 million worth of SOL yesterday, according to crypto analyst Ted Pillows.

Why do Pump.fun sales matter for SOL price?

Large and persistent sales can add supply to the market, especially when trading volumes are thin. If buyers cannot absorb that supply, SOL rallies may fade and support levels can come under pressure.

What is the key Solana support level to watch?

The key level being watched is $78. Technical traders see this area as an important support zone that could determine whether SOL rebounds or moves toward lower levels.

What happens if SOL breaks below $78?

If SOL breaks below $78, chart watchers may look for a retest of the $70 to $65 zone in the near term. Such a move would suggest that sellers have gained more control of the short term trend.

Can Solana still rally toward $90?

Solana could still attempt a move toward $90 if buyers defend the $78 support area. A convincing bounce would need stronger demand and reduced selling pressure to improve confidence.

How has Solana performed over the past month?

Solana remains up 17% over the past month despite the recent pullback. That performance makes it the top performing token in the top 5 during that period.

What does the RSI suggest for SOL?

The daily Relative Strength Index remains above 50, which means bullish momentum is still present for now. A move below the signal line could be viewed as an early sign that the price trend is weakening.

How much fee revenue has Pump.fun generated?

Token Terminal data indicates Pump.fun generated nearly $20 million in fees last month and $1.1 billion since launch. The platform extracts around $25 million on average from users who launch or trade memecoins.

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