SOL Drops 6.8% as $37.7M in Long Liquidations Hit

Solana (SOL) fell 6.81% to around $90 on Friday, November 6, 2026, as a broad crypto sell-off triggered more than $1 billion in leveraged liquidations. The move pushed the token toward a closely watched long-term support area and intensified bearish sentiment across the market.

Live market data puts SOL's market capitalization at $52,898,224,638, while the Crypto Fear and Greed Index stands at 28, indicating fear. The immediate issue for traders is whether buyers can defend support near the 200-day moving average or whether forced selling will extend the decline.

SOL price drops below $90 as risk appetite weakens

SOL declined about 6.3% to $89.90 in the latest completed session on Thursday, November 5, trading between $89.38 and $96.97, according to CoinGecko data reported by CryptoTimes. Friday's market data shows the decline continuing, with SOL trading around $90 and down 6.81% over 24 hours.

The sell-off was not isolated to Solana. Bitcoin moved toward $76,000, while Ether fell toward $2,240 as weakness in U.S. technology stocks pressured risk-sensitive assets. Yahoo Finance reported that more than $1 billion in crypto positions were liquidated over 24 hours, with roughly $954 million coming from long positions.

That imbalance matters because long liquidations occur when traders betting on higher prices are forced to close positions. The resulting market orders can add further downward pressure, creating a feedback loop in which falling prices trigger more forced selling.

Long positions account for most SOL liquidations

CoinGlass data cited by CryptoTimes showed $37.68 million in SOL liquidations over 24 hours on November 5. Long positions accounted for $34.18 million of that total, meaning buyers represented the clear majority of forced closures.

Shorter measurement windows showed the same pattern. Long liquidations reached $32.58 million over 12 hours and $24.51 million over four hours, according to the CoinGlass figures reported in the latest coverage. This suggests the pressure was concentrated during the sharpest phase of the decline rather than spread evenly across the day.

The 200-day moving average is the key SOL support level

SOL was testing its 200-day moving average near $88.93 on Friday, according to market analysis published by TradingNews. The level was described as the token's first test of that moving average since August.

Moving averages are commonly used to identify the prevailing trend. A successful defense can encourage dip buyers and give traders a reference point for a rebound. A sustained break below the level, by contrast, could signal that the medium-term trend is weakening and may encourage additional risk reduction.

The current setup leaves SOL close to support but not decisively below it. That distinction is important. A brief intraday move under a moving average can produce a rebound, while a daily close below it followed by weak retests would represent a more negative technical development.

Why the broader crypto liquidation wave matters

The wider market backdrop is amplifying SOL's individual weakness. Yahoo Finance reported that more than $1 billion in crypto positions were liquidated in the latest 24-hour period, while CryptoTimes cited CoinGlass data showing approximately $1.09 billion in liquidations at one point on November 5.

When liquidations rise across Bitcoin, Ether and major altcoins at the same time, correlations typically become more important than token-specific fundamentals in the short term. Solana can therefore fall even if network activity or developer interest remains stable, because portfolio managers and leveraged traders may need to raise cash or reduce exposure across the market.

The Fear and Greed Index reading of 28 reinforces that defensive backdrop. Fear does not guarantee further losses, but it shows that traders are prioritizing capital protection over aggressive risk-taking. For SOL, that can make rallies less durable until liquidation activity declines and spot demand returns.

ETF flows and positioning remain important catalysts

Recent market coverage also pointed to continued pressure from Solana spot ETF flows, with Pluang reporting four consecutive weeks of outflows. Because ETF flow data applies to trading sessions, investors should distinguish Thursday's U.S. session from weekend market activity and avoid treating a non-trading day as an ETF-flow date.

ETF outflows can weaken sentiment when they persist, particularly during a broader risk-off move. However, the available reports do not establish that ETF flows alone caused Friday's decline. The immediate catalyst was a combination of equity-market weakness, broad crypto selling and forced derivatives liquidations.

Open interest is another risk variable. CryptoTimes reported that SOL perpetual futures open interest remained above $8.3 billion in the November 5 coverage. Elevated open interest can support strong price moves in either direction, but it also means that crowded positioning may create additional liquidation risk if SOL loses support.

What the move means for SOL traders and investors

• For short-term traders: The $88.93 area is the clearest nearby technical reference. Price behavior around that level, liquidation volume and changes in open interest may matter more than older resistance levels.
• For leveraged buyers: The $34.18 million in long liquidations shows how quickly crowded bullish positions can become forced sellers during a market-wide decline.
• For spot investors: A lower price does not by itself confirm a bottom. Confirmation would require stabilization, reduced liquidation activity and evidence that buyers are absorbing supply.
• For tax planning: Traders should keep accurate records of disposals, realized gains and losses. Depending on jurisdiction, selling SOL at a loss may affect crypto taxes, while staking rewards, trading profits and other crypto income may have separate reporting treatment.

FAQ: Solana price and liquidations

Why is SOL down today?

SOL is falling as part of a broad crypto sell-off linked to weakness in risk assets and more than $1 billion in market-wide leveraged liquidations. Long positions made up most of the forced closures.

How much SOL was liquidated?

CoinGlass data reported on November 5 showed $37.68 million in SOL liquidations over 24 hours, including $34.18 million from long positions.

What is the key SOL support level?

The 200-day moving average near $88.93 is the main nearby support reference identified in the latest market analysis.

Does a Fear and Greed reading of 28 mean SOL must keep falling?

No. A reading of 28 indicates fear, but it is a sentiment measure rather than a guaranteed price signal. Further direction will depend on market-wide liquidations, Bitcoin's trend, ETF flows and SOL's reaction near support.

How can the decline affect crypto taxes?

A loss is generally relevant only when a position is disposed of, and tax rules vary by jurisdiction. Investors should track transaction dates, cost basis, proceeds and any staking or trading income.

What to watch next

The next market signals are SOL's reaction around $88.93, whether daily trading can reclaim $90, and whether long liquidation activity begins to slow. Traders should also monitor Bitcoin, U.S. technology stocks, ETF flow data from the latest eligible trading session and changes in SOL futures open interest.

A durable recovery would require more than a brief bounce. The market would need to show that forced selling has eased and that spot buyers are willing to absorb supply. Until then, SOL remains vulnerable to additional volatility around the $90 area.

This article is for informational purposes only and does not constitute financial, investment or tax advice. Cryptocurrency prices are volatile, and you can lose some or all of your capital. Consult a qualified financial or tax professional before trading or making decisions about crypto income or crypto taxes.