Solana's (SOL) price has taken a nosedive, closing its second-worst weekly return of 2024 at 19.14% at the end of August. This follows its largest negative weekly ROI of 25.19% a month prior in July.

The derivatives market is currently driving the price action, with Solana's open interest (OI) rising 20% as the funding rate turns negative. This indicates aggressive short-selling from futures traders, as SOL's spot net flow saw a negative $500 million in August.

The negative funding rate, which has remained negative for the past week, its longest stretch since October 2023, further confirms the bearish bias. The current funding rate of -0.001 is the lowest in 2024, suggesting increased downward pressure on Solana's price.

Source: https://cointelegraph.com/news/is-solana-price-dropping-under-100-in-september

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