Solana is testing one of its last major weekly support zones after a sharp breakdown from months of range trading. At the same time, short liquidity is building near $89, creating a possible squeeze target if buyers regain control.
Solana Tests Final Major Weekly Support as Bears Extend 20% Breakdown
Solana (SOL) has completed a sharp breakdown from a multi-month consolidation range, falling more than 20% after losing key support. The latest move has pushed SOL into a critical weekly demand zone where bulls may face one of their most important tests of the current cycle.
Solana Weekly Chart (SOL/USDT). Source: Daan Crypto Trades on X / TradingView
The chart shows SOL trading inside a range between roughly $79 and $95 for more than three months. During this period, price compressed into a tight structure as buyers and sellers battled for control without establishing a clear trend.
According to analyst Daan Crypto Trades, the eventual breakdown triggered the type of large move often seen after extended consolidation phases. Once SOL lost the lower boundary of the range, bearish momentum accelerated and pushed price more than 20% lower within a relatively short period.
The decline has now brought Solana back to a major weekly support area near the $58-$60 region. This zone previously acted as a significant demand area and represents one of the last major support levels before lower price regions come into focus.
From a technical perspective, traders are now watching whether buyers can defend this support and reclaim former resistance levels near $67 and $79. A successful recovery above those levels would improve the market structure and reduce immediate downside pressure.
For now, the weekly support zone remains the key battleground. If bulls fail to hold this area, the breakdown could extend further, while a strong reaction could mark the beginning of a broader recovery attempt.
Solana Shorts Cluster at $89 as Long Positioning Dries Up
Solana (SOL) is showing highly imbalanced market positioning, with long exposure remaining unusually low while short liquidity continues to build above current prices. The latest liquidity heatmap suggests traders are closely watching the $89 region as a potential magnet for future price action.
Solana Liquidity Heatmap (SOL). Source: Emilio Crypto Bojan on X / CoinAnk
The heatmap shows SOL declining from above $95 to the low-$60 region over the past month. Throughout the selloff, long-side liquidity has gradually disappeared, leaving relatively few significant long-position clusters below the current market price.
According to analyst Emilio Crypto Bojan, long exposure is now almost nonexistent. This suggests many bullish traders have already been flushed out during the recent decline, reducing the amount of downside liquidation liquidity available beneath the market.
On the upside, a large concentration of short liquidity remains near the $89 level. The heatmap highlights this area as one of the strongest liquidity clusters above current price, making it a key zone traders may monitor if SOL begins to recover.
From a market structure perspective, heavily one-sided positioning can sometimes create conditions for sharp countertrend moves. If buyers regain momentum, price could be drawn toward the concentrated liquidity zone where short positions may come under pressure.
For now, the $89 region remains the primary level of interest. While Solana continues to trade well below that resistance area, the large buildup of short liquidity keeps attention focused on whether the market could eventually attempt a move toward that zone.
