Solana (SOL) has shown renewed strength after weeks of consolidation, drawing attention from traders and analysts alike. Currently trading at $86.53 with a 24-hour volume exceeding $4.2 billion, SOL has climbed 3.21% in the last day.
Daily Chart Shows Key Breakout Potential
According to Satoshi Flipper, SOL has been confined within a seven-month descending channel, forming a series of lower highs and lower lows, signaling a bearish structure. Recently, price stabilized near $80–$85, creating a short-term consolidation base.
Flipper emphasizes that reclaiming and holding above $100 is crucial. A break at this level would indicate a shift in momentum and likely trigger short covering.
Consequently, the next major resistance lies between $140 and $150, with the macro supply zone at $200–$250 as a potential long-term target. Until $100 breaks, the downside risk toward $75 remains.
Short-Term Upside Seen on 4-Hour Chart
CryptoPulse highlights a constructive setup on the 4-hour chart. SOL is testing the lower boundary of a rising channel near $82–$84, where buyers have repeatedly absorbed sell pressure. Immediate resistance sits at $90–$91, a level that has rejected price multiple times.
If SOL maintains channel support, momentum could push it toward $90 and eventually toward $98–$100. However, a breakdown below $82 could trigger a drop to $78–$75. CryptoPulse notes that this compression signals a possible accumulation phase before the next upward leg.
Short Squeezes Strengthen Momentum
CW8900 points out that SOL recently liquidated a significant number of high-leverage short positions, roughly $3.49 million in total. Price first dropped, forming a base at $80–$82, then recovered toward $85–$87 as buyers absorbed selling pressure.
Source: X
Resistance remains near $89–$91, where heavy liquidity bands indicate potential sell walls. If SOL surpasses this range, additional short squeezes could push the price toward $95, accelerating the bullish momentum.
Overall, Solana’s current market structure shows potential for an upward breakout, but traders should monitor $100 as the pivotal level. Buyers stepping in near support, coupled with short liquidations, could define the next leg of the rally.
