Solana Price Plunges 11% Despite Sharps Technology Unveiling $400M Treasury Plan

The Solana price has dropped 11.32% in the last 24 hours, to trade at $188.25, on a 2.27% increase in the daily trading volume, to $12.17 billion.

Solana Price Sinks Despite $400M Sharps Technology Move

The Solana price sell-off comes despite the Sharps Technology announcing that it would move up to $400 million of its treasury reserves into Solana and other crypto assets. Many traders were caught by surprise.

Sharps Technology, a Nasdaq-listed medical tech company, announced it will be holding much of its cash reserves in Solana. Some investors hoped this big news might lift the coin price, but instead, it fueled fears about market volatility.

There is still concern that large non-crypto companies could shake up tradable coin supplies and spark regulatory risks. As a result, Solana price quickly tumbled below $190, wiping out a big chunk of its recent rally.

Solana Price On-Chain Signals: Sellers Step In

On-chain data for Solana indicates heavier sell pressure after the Sharps Technology announcement. The number of SOL coins sent to exchanges jumped as soon as the news hit, a classic sign that holders may want to cash out. 

SOL TVL Chart Source: DefiLlama

The spike in trading volume also suggests many investors, both big and small, reacted quickly to the volatility and uncertainty. Wallet activity rose across the Solana network, hinting that traders are watching the coin price closely. Some are looking to take profits, while others wait for a clear trend before getting back in. 

Despite the volatility, there are still signs of strong network usage and consistent daily activity. However, the on-chain mood has visibly shifted from bullish to much more cautious, at least until traders see how the Solana price settles in the coming days.

SOL Price Technical Outlook: Support and Upside Risks

Looking at the Solana chart, the coin is now trading at $187.63, just above its 50-day simple moving average at $179.15. The broader uptrend remains intact thanks to the golden cross seen earlier in August, but the recent price drop puts key support levels at risk.

SOLUSDT Analysis Source: Tradingview

First support comes in at $179, the 50-day average. This is a critical short-term level. If Solana price breaks below it, the next strong floor is at $157, which is the 200-day average. A fall through $157 would be bearish and could spark a deeper correction toward the $140–$150 zone.

To reverse the negative momentum, Solana price must reclaim the $200 level and hold above it. If the price can manage this, there is room to retest the upper edge of the channel shown on the chart, targeting around $213–$215. A breakout above $215 would confirm a bullish continuation, possibly aiming for new highs in the $250 range.

The Relative Strength Index (RSI) sits at 51.25, not signalling overbought or oversold. The MACD is barely positive, hinting at weak momentum with the MACD line just above the signal line, with values of approximately 4.81 (MACD) and 4.78 (Signal).  

The Average Directional Index (ADX) is at 27.76, confirming that the current trend is present but not especially strong. Solana’s price is now at a crossroads. 

After the big treasury news and heavy sell-off, the focus is back on the key technical zones. Until the coin price makes a clear move out of its current range, market caution will likely remain the main theme.