Solana (SOL) has extended a decline for three consecutive weeks, raising investor anxiety, a report said.

BeInCrypto, a blockchain media outlet, said on Wednesday that SOL was trading around $80. It said a fall in demand across the broader crypto market, along with selling by long-term holders, is increasing the risk of further declines.

Solana's supply in profit fell to 15 percent, its lowest since November 2022. That signals most holders are sitting on losses, which could ease additional selling pressure, it said. But the downtrend is limiting the scope for a rebound as broader market weakness coincides with psychological fatigue among long-term holders.

The 'Liveliness' indicator, which shows selling activity by long-term holders, also surged. It indicates coins are moving out of wallets that had long been dormant, a sign holders have shifted from accumulation to distribution. If long-term holders sell, the chance of a market recovery falls further.

Long-term holders' net unrealised profit and loss (NUPL) also fell below 0 at the end of last month, with stop-loss selling gathering pace. It last happened in May 2022, when large-scale selling triggered a sharp price drop. The report said a similar pattern is likely to repeat.

SOL is holding around $80, but if long-term holders keep selling, there is a high risk the $79 support level will break. If it breaks, SOL could fall to $70, the 1.786 Fibonacci extension level. If long-term holder selling stops and the price breaks above the $88 resistance level, it could still rebound to $95, the outlet said.