Solana (SOL) is entering a critical period as its price action compresses, signaling a potential major trend shift. Analysts are watching two key setups: a macro correction and a mid-range support test.
1. Macro View: Deeper Correction Likely Analysis from Elliott Waves Academy suggests that Solana has completed a significant upward wave (Wave 1/A) on the weekly timeframe.
Target Zone: A deeper pullback is anticipated, targeting the $49.26 – $32.03 range. This aligns with the 50%–61.8% Fibonacci retracement levels.
Bullish Confirmation: If SOL bounces strongly from this zone, it would validate the broader bullish thesis.
Invalidation Point: A drop below $8.00 would invalidate the current bullish outlook entirely.
2. Mid-Range View: Technical Support Test CryptoPulse highlights a tightening structure with reduced volatility, indicating a decisive move is imminent.
Key Support: The focus is on the $133 support level, a zone that has historically attracted buyers.
Strategy: Traders are advised to wait for the price to revisit $133 and look for confirmation signals (e.g., strong volume, bullish engulfing candles) before entering positions.
Fundamentals: Strong on-chain activity and ongoing development add weight to this technical support zone.
Conclusion: Solana is at a crossroads. While the macro view warns of a potential slide to the $30-$50 range, the immediate technical setup offers a potential buying opportunity near $133 if support holds. Patience and confirmation are key for traders navigating this dual-test scenario.
