Solana (SOL) has been trading within an ascending structure, but analysts warn that a breakdown from this pattern could push the price down to the $113 level. With increasing market uncertainty and potential bearish momentum building, traders are keeping a close eye on SOL’s price movements to determine its next direction.
Solana’s Current Price Action
Solana has been one of the stronger-performing altcoins in recent months, bouncing back from previous lows. However, its recent price trajectory has formed an ascending channel, a pattern that typically signals potential continuation but can also lead to a breakdown if buyers lose strength.
At the time of writing, SOL is testing key support levels within this channel. A decisive break below these levels could trigger a sell-off, increasing the likelihood of a move toward the $113 target.
Why Analysts Predict a $113 Target?
Several factors contribute to the bearish outlook for Solana if the ascending structure fails:
- Technical Weakness – Solana’s price is struggling to maintain upward momentum, and a breakdown from the ascending structure could accelerate selling pressure.
- Broader Market Trends – The overall crypto market remains volatile, and macroeconomic factors like inflation data and Federal Reserve policies continue to impact sentiment.
- Decreasing Trading Volume – A decline in trading volume indicates weakening bullish momentum, increasing the chances of a bearish reversal.
- Key Support Levels Being Tested – If SOL loses key support around $125-$120, the next major support lies at $113, where buyers may look to step in.
Key Levels to Watch
- Support Levels: $120, followed by $113 if breakdown occurs.
- Resistance Levels: If bulls regain control, SOL needs to break above $140 to negate the bearish scenario and regain upside momentum.
What’s Next for Solana?
If Solana maintains its position within the ascending structure, it could still push higher and attempt another breakout. However, a breakdown from this structure could lead to further downside, making $113 a crucial level for traders.
Market sentiment, along with fundamental developments around the Solana ecosystem, will play a key role in determining its price direction. Investors should stay cautious and monitor technical indicators before making trading decisions.
Final Thoughts
Solana faces a critical test as it trades within an ascending pattern. A breakdown could trigger a move to $113, reinforcing bearish momentum. However, if bulls manage to defend key support levels, SOL could attempt to push higher. Traders should keep a close watch on price action and broader market conditions before making any moves.
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