Solana’s Seeker (SKR) token is down nearly 70% from its peak and trading around $0.024 at the end of January. The token is nearing a break below support, potentially leading to a 17% drop. Immediate price preservation now depends on the forced liquidation of derivatives positions rather than renewed spot demand.
For Solana’s Seeker token, the price is far from its all-time high. Market data shows it’s nearly 70% lower, with a potential 17% drop from its current value on the horizon. The Chaikin Money Flow (CMF) turned negative on January 24, indicating net capital outflows, while the Relative Strength Index also shows downward pressure after the momentum that could have boosted the token weakened.
Although exchange balances increased by more than 5% in the last 24 hours (around 23.6 million SKR), major addresses reduced their exposure by 4%, as buyers moved to protect their positions and avoid further losses. Current demand is weak, so the resistance level is at $0.019. A break below that level would coincide with the projected 17% downward move.
The analysis from late January 2026 showed a convergence of weak spot flows, a deterioration in technical momentum, and skewed positioning in derivatives, which together set the stage for a short squeeze or a downward cascade.
Seeker’s shaky future
Derivatives markets were the only plausible source of short-term buying, offering some hope for a price recovery for Seeker. Bitget’s 30-day perpetual SKR/USDT market showed over $3.06 million in short leverage compared to $1.49 million in long leverage, representing an imbalance of over 100% in favor of the bears.
This concentration of short exposure meant that a modest rally toward $0.030 could mechanically trigger approximately $1.2 million in short liquidations, forcing short holders to buy back their positions and producing a temporary squeeze.
However, this movement in Seeker is driven by forced liquidations and not by a genuine improvement in the project’s fundamentals. If these liquidations didn’t materialize, the lack of buying in the spot market, coupled with persistent selling pressure, would increase the risk of a break below US$0.019, implying a further decline of approximately 17%.
From an operational standpoint, the message for traders is clear: any price increase would likely be due to the closing of leveraged short positions, rather than a renewed buying impulse.
Finally, from a risk management perspective, it’s crucial to closely monitor open interest in perpetual contracts and the evolution of exchange balances. Funding and liquidation data will determine whether the next significant move is merely a temporary short squeeze or a more sustained bearish breakout.
