Solana Faces Key Test at $140 Support After 16-Month Consolidation

Solana (SOL) has been trading within a tight range for over 16 months, with its price fluctuating between $13.81 and $204.51. This period of consolidation has established a clear price base for the cryptocurrency, and its structure remains bullish as long as key trendlines hold. The asset is currently positioned above $162, pressing against historical resistance, while volume metrics indicate potential exhaustion.

Solana's price action has respected both resistance and support levels within its consolidation zone, which stretches from $32.77 to $204.51. The cryptocurrency is currently trading near $162.74, above its ascending trendline drawn from January 2023. This trendline has supported price action through all corrective phases in the past year, reflecting the asset's strength.

Despite the recent rejection from the $170.51 resistance zone, which sparked an intraday sell-off back to $157.38, Solana's long-term accumulation remains intact. The cryptocurrency has reclaimed a critical long-term downtrend resistance that stretched from its 2021 highs, and price has respected this structure ever since, refusing to close below trend support on the weekly chart. This builds a strong case for controlled accumulation rather than topping behavior.

Momentum indicators paint a bearish near-term picture, with oscillators peaking above 69.05 and rolling over toward 26.23, indicating declining bullish pressure. Wave momentum has also flipped negative, with readings of -6.19 and -7.13. These shifts occurred right after a failed breakout, confirming the rejection and giving strength to the current bearish sentiment.

A key structural question emerges: will SOL hold above the $140 support zone, or will deeper correction unfold? The current pullback fits within a broader bullish structure but invites caution for short-term traders. The larger bullish thesis remains intact as long as SOL defends the rising trendline and continues producing higher lows across weekly closes.

Solana still sits at a pivotal point, where expanding volume and stronger buying interest are needed for a full breakout. As long as SOL maintains strength above support zones, long-term conviction remains intact. With SOL trading at the center of accumulation, breakout potential intensifies if macro conditions align. SOL’s technical roadmap now hinges on holding $140 and reclaiming $170 to revive upward momentum.