Solana is showing technical signs of a rebound, but added DeFi market anxiety has brought 1,321,484 SOL into exchanges.

On April 20, local time, blockchain media outlet BeInCrypto reported that despite increased accumulation by long-term holders, rising short-term selling pressure is also building, leaving Solana’s price testing direction in a narrow range.

Solana is trading at $84.15 on the 12-hour chart and is trying to rebound near the $82.93 support level. From April 15 to 19, the price formed a higher low than the previous low, but the relative strength index, or RSI, posted a lower low. This is seen as a “hidden bullish divergence,” a signal that appears when selling pressure weakens.

Trading volume told a different story. Since April 18, sell volume has increased, and Solana selling emerged each time a rebound appeared. This was interpreted as closer to distribution than panic selling.

In the background is DeFi contagion that began in the Ethereum ecosystem. After the rsETH hack at KelpDAO, a credit crunch spread to Solana, and the Prime market USDC reserves of Solana lending protocol Kamino reached 100 percent utilisation on April 20. Available liquidity has effectively disappeared, and utilisation at multiple USDC vaults also topped 95 percent. This raised the possibility that participants with USDC funds tied up are selling Solana on the spot market to secure cash.

On-chain indicators also aligned with that flow. The exchange net position change indicator jumped to 1,321,484 SOL on April 19 from 109,932 SOL on April 15. That was a 1,102 percent increase in four days, and is typically interpreted as a precursor to selling because it means more Solana has accumulated in exchange wallets.

Long-term holders moved in the opposite direction. The holder net position change indicator, which tracks supply changes in wallets holding for at least 155 days, rose to 2,921,661 SOL on April 19 from 2,434,566 SOL on April 16. That amounts to an additional roughly 487,000 SOL in three days.

Ultimately, the market is being compressed into a structure in which forced selling from the DeFi crisis is pitted against accumulation by long-term holders. That structure can produce shallow rebounds rather than sharp plunges, but it also increases the chance that tug-of-war by price band continues.

In the short term, $85.42 was presented as the first area to test on the upside. A break above that level could add strength to the rebound attempt. Still, the April 17 high of $90.79 has already acted as resistance once. That zone would need to be reclaimed for the current bearish flow to ease and for an additional rebound path to $93.40 to open.

Conversely, if forced selling pressure overwhelms long-term accumulation, the rebound attempt could falter. If $82.93 is tested again, the hidden bullish divergence becomes invalid. If $82.11 then breaks, downside targets could open at $79.95 and $76.74. Solana’s market is seen as splitting between a sustained rebound and the risk of a downside break, with $82.93 as the reference level.