Solana Faces Crucial Test at $147–148 Support Zone

Solana is currently facing a critical test at the $147–148 price range, a level that could determine the direction of its near-term trajectory. The cryptocurrency failed to surpass the resistance at $152.68, leading to a buy signal from the TD Sequential indicator. This signal, combined with the Relative Strength Index (RSI) rolling over from overbought levels, suggests a potential short-term fading momentum.

Analysts note that the $147–148 zone is make-or-break territory for Solana. If bulls can defend this area, it could pave the way for a continuation of the uptrend, potentially reaching $155–$160. However, a failure to hold this line may result in a decline towards the key 61.8% Fibonacci retracement level at $142. This level corresponds with mid-June support and could trigger further stop-loss hunts if breached.

The 4-hour chart shows that Solana printed a TD Sequential sell 9 just below the $152.68 swing high. The next candle stalled at the 0.786 Fibonacci retracement near $148.49, indicating that sellers have gained short-term control. This sequence can mark trend exhaustion, according to analysts. The RSI drop further suggests growing downside risk, while the volume thinned on each rally attempt, warning of ascending fatigue.

Liquidity conditions have also deteriorated, with a 23 percent decrease in trading volume, indicating weakness in momentum and an increased risk of slippage during late spindust waterfalls. This thin liquidity may limit upside accumulation and exacerbate the risk of further declines. Traders are closely monitoring bid-ask spreads and momentum indicators as they navigate this critical juncture.

If Solana is unable to hold the $148.50 level, selling pressure could drive the price down to the 61.8% Fibonacci retracement at $142. Further pullbacks could test the 50% Fib at $138 or the 38.2% Fib near $136, which are critical zones for bulls. Traders may look for buy orders in that range, but they should also be aware of potential algorithmic sell triggers.

In summary, Solana's ability to hold the $147–148 support zone will be crucial in determining its near-term direction. A precise hold above this level could open the path to higher prices, while a drop below $146.99 risks a slide towards $142. Risk managers are advised to track exit points and set stops near $146.50 to limit potential losses. The outcome of this test will provide valuable insights into the strength of the bullish momentum and the potential for further gains or corrections in the Solana market.