Solana is undergoing a pivotal period this week, trading within a narrow range of $145 to $160 since Monday. This price movement indicates robust buying interest, yet there is evident hesitation among bulls as they attempt to regain higher price levels. Although Solana is maintaining its position above crucial support levels, a decisive breakout above the resistance is necessary to affirm a bullish trend and sustain its upward momentum.
Recent market trends have favored bullish sentiment; however, Solana's struggle to surpass the $160 threshold raises concerns regarding the sustainability of this trend. Noted analyst Carl Runefelt provided insights suggesting that Solana is currently moving within a rising channel pattern. While this formation appears bullish, it can often precede declines to lower demand zones if support fails, making the upcoming days critical for Solana's future price action.
With macroeconomic conditions improving and Bitcoin approaching new all-time highs, Solana is poised to react accordingly. Nonetheless, technical indicators advise caution. A drop below the rising channel may target the support level around $128.50, while a successful breakout above $160 could facilitate retesting of recent highs. Both traders and investors are closely monitoring Solana's next steps during this high-stakes consolidation phase.
Currently, Solana is trading below the $150 mark, reflecting a significant 20% decline from its peak in May. Despite this downturn, the asset maintains a solid support foundation, indicating that bullish sentiment is not entirely lost. The overall market remains in a consolidation phase, with Solana displaying signs of indecision as it navigates a tightening price range.
Analysts express cautious optimism, noting that a breakout above the critical $150–$160 supply zone could ignite renewed upward momentum. However, the prevailing price structure suggests that Solana might not yet be ready to retest previous highs. Runefelt emphasizes the importance of the rising channel, which can lead to sharp price movements if broken. A failure below the lower trendline could trigger accelerated declines, with the next significant support level residing around $128.50, a historically strong demand zone.
In the meantime, Solana's ongoing consolidation mirrors broader market uncertainty, with traders awaiting a definitive breakout or breakdown to inform their strategies. A successful recovery of the $150 level could enhance sentiment and potentially pave the way for a move toward the $170–$180 range. Conversely, a failure to maintain current levels may shift the outlook toward increased downside risks.
As of now, Solana (SOL) is trading at $147.62, moving sideways within a constricting range and forming a potential rising channel pattern. Analysis of the daily chart shows that SOL has struggled to break significantly above the resistance zone of $155–$160, while solid support remains near the $140 mark. The price action indicates repeated rejections near the 100-day moving average, which currently serves as dynamic resistance around $155.60. The 200-day moving average, positioned above at $165.54, marks a long-term resistance area.
Trading volume is relatively low compared to the spikes seen in early June, suggesting that market participants are awaiting a decisive breakout direction. A rise above $160 could likely trigger bullish momentum, possibly leading to a target of the $170 level. However, the identified rising channel poses downside risks should the lower trendline fail. If Solana falls below the $145 support and exits the channel, the next target would be the $128.50 area, which previously acted as a demand zone in mid-May. Until then, bulls must defend current levels and aim to reclaim the 100-day SMA to uphold the broader recovery structure. The upcoming sessions may bring clarity as the consolidation phase approaches its resolution.
