Solana faces a crucial test at the $145 support level, while a bullish weekly chart fuels hopes for a breakout beyond $300.
Solana is struggling to stay above the $130 psychological level as the broader market remains quiet. Following a bullish recovery, a sudden drop in buying momentum has led to consolidation.
However, the gradual rise in bearish pressure raises concerns about a potential breakdown below the $145 level. Could this trigger a quick pullback to $137?
Solana Price Analysis
On the 4-hour chart, Solana’s recovery rally saw a bounce from the $95 low to a swing high at $157. However, the bulls’ struggle to sustain levels above the $150 psychological barrier has led to sideways movement.
Currently, SOL is fluctuating between the lower boundary at $145 and the upper resistance at $155. It trades around $148, with a minor lower wick on the latest 4-hour candle indicating some buying interest.
While this slight recovery hints at a potential bullish reversal, the 50 EMA on the 4-hour chart now serves as dynamic support. However, a recent breakdown of a local ascending trendline raises the risk of a steeper correction.
Additionally, the consolidation zone between $145 and $155 has completed a bearish head-and-shoulders pattern, with the neckline aligning with the $145 support level.
Optimistic Analyst Eyes Solana Breaking Out of a Cup and Handle Pattern
Despite short-term bearish signals, crypto analyst Ali Martinez anticipates a major recovery for Solana on the weekly chart. According to him, SOL is forming a cup-and-handle pattern.
The neckline of this formation is near the $300 level. Currently, Solana is progressing positively within the “handle” portion, approaching the overhead trendline. If a breakout occurs, Solana could see a strong bullish move, potentially reaching a new all-time high.
SOL Price Targets
Based on this analysis, as long as Solana holds above $145, bulls will likely aim for new higher highs. A breakout above $155 could set the stage for a rally toward $165 and then $180.
Conversely, the key support lies at the 200 EMA around $137, followed by the $124 support level.
DisClamier: This content is informational and should not be considered financial advice. The views expressed in this article may include the author's personal opinions and do not reflect The Crypto Basic opinion. Readers are encouraged to do thorough research before making any investment decisions. The Crypto Basic is not responsible for any financial losses.
