Market Overview: Solana/Tether (SOLUSDT) on 2025-12-26

Friday, Dec 26, 2025 12:36 pm ET1min read
Aime RobotAime Summary

- Solana/Tether (SOLUSDT) dropped below $122 support on Dec 25, with volume surging as RSI hit oversold levels.

- A bullish engulfing pattern at $122.05 and widened Bollinger Bands suggest potential short-term rebound.

- Fibonacci retracement at $123.61 could face resistance, while traders watch for a possible reversal near $123.00–$123.50.

Summary
• Price dropped from $124.37 to $120.2, breaking key support at $122.
• Volume surged in the late hours of Dec 25, coinciding with the breakdown.
• RSI hit oversold levels near 30 during the selloff, suggesting potential rebound.
• Bollinger Bands expanded as volatility spiked after the 24-hour low.
• A bullish engulfing pattern formed around 05:00 ET Dec 26 near $122.05.

At 12:00 ET on Dec 26, Solana/Tether (SOLUSDT) opened at $124.11, reached a high of $125.14, and closed at $121.24 after a low of $120.2. Total 24-hour volume was 1,211,531 SOL, with notional turnover of $145.4 million.

Structure & Formations


The price action displayed a sharp breakdown from $124.00, with a key support level breached at $122.00. A bullish engulfing pattern formed around $122.05 at 05:00 ET, suggesting a short-term reversal may be possible. A doji appeared at $122.69, indicating indecision following the selloff.

Moving Averages


On the 5-minute chart, price closed below both the 20-period and 50-period moving averages, suggesting short-term bearish bias. The daily chart shows price remains above the 50- and 100-period moving averages, though the 200-period MA has not yet confirmed a reversal.

Momentum & Volatility


The RSI dropped to oversold territory near 30 during the selloff, potentially signaling a short-term bounce. MACD remained bearish throughout the session, with negative divergence observed in the latter half. Bollinger Bands widened significantly after the 24-hour low, reflecting heightened volatility.

Volume & Turnover


Volume spiked at 23:45 ET Dec 25 and remained elevated throughout the early hours of Dec 26, confirming the breakdown from key support. Notional turnover mirrored volume spikes, showing no divergence in price and volume dynamics.

Fibonacci Retracements

Applying Fibonacci levels to the recent $120.2–$125.14 swing, the 61.8% retracement level sits at $123.61, which could serve as a short-term resistance. A rebound from the 38.2% level at $122.80 may be key to watching for a possible reversal.

The market may test the $123.00–$123.50 range in the next 24 hours if the bullish engulfing pattern holds. However, traders should be cautious of a potential retest of the $120.20 level if bearish momentum resurfaces.