Solana (SOL) has reclaimed the crucial $100 support level after experiencing its most significant correction in 14 months. Technical analysts suggest a potential 15% recovery could be imminent as the cryptocurrency tests critical support zones that previously catalyzed major rallies.
Market Analysis: SOL’s Critical Support Test
In a dramatic market move, SOL plunged to $95 on Monday, marking a 20% decline in just 24 hours and its lowest point since February 2024. The sharp correction came after broader market turbulence triggered by Trump’s trade policies sent shockwaves through the crypto ecosystem.
Technical Outlook and Price Targets
Several key technical factors suggest SOL could be positioning for a recovery:
- Multi-year ascending support trendline retest
- TD Sequential buy signal on weekly timeframe
- Critical $120 resistance level ahead
- Potential 15% bounce to reclaim key support zones
Expert Analysis and Predictions
Analyst Ted Pillows highlights that SOL’s bounce from its multi-year ascending support trendline could mirror the previous 1,000% rally to $270. This technical pattern has historically preceded significant price appreciation.
Key Price Levels to Watch
Traders should monitor these critical price zones:
- Support: $95 (must hold)
- Resistance: $120-121 (breakthrough needed)
- Target: $147 (potential rally objective)
FAQ
Is Solana’s bull run over?
While some analysts suggest the recent price action could signal the end of the bull run, others point to strong technical support levels that could fuel a recovery.
What caused Solana’s recent price drop?
The correction coincided with broader market volatility and profit-taking following the memecoin frenzy that previously drove SOL to all-time highs.
What are the key levels for Solana recovery?
A breakthrough above $121 is crucial for confirming bullish momentum, while maintaining support above $95 is essential to prevent further downside.