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Solana has recently shown a clear pattern of stabilization after a significant decline. It dropped to the $95 range during last month's sharp fall, but since then, it seems institutional investors have been buying in. Currently, it's hovering around $79, and over the past few days, there appears to be a return of capital inflows.
Looking at the chart, an interesting point is that while the price has been decreasing, the large-cap fund flow indicator (CMF) has been rising. This is called a "bullish divergence," meaning institutional investors have been accumulating at the lows. Since there hasn't been panic selling from long-term holders, many believe this dip is just a temporary correction.
However, a concern is the increasing number of short-term traders. They tend to sell quickly during rebounds, so it's uncertain whether the upward trend will continue. The key moving forward is whether the price can clearly break through the $120 level. This coincides with the 20-day moving average, and breaking above it could signal the start of a genuine recovery. Whether the decline halts here will likely depend on this critical support level.