Solana's Price Rollercoaster: Bulls vs Bears at $130
1min read Solana's short-term price targets have been a topic of intense discussion among investors and analysts alike, with the possibility of a drop to $130 being a key point of interest. In this article, we will provide a comprehensive overview of the recent developments surrounding Solana's price movements and the factors influencing its short-term price targets.
In recent weeks, Solana (SOL) has experienced significant volatility, with sharp price swings in both directions. On one hand, the altcoin has demonstrated remarkable resilience, reclaiming key resistance levels and surging by 24.40% in a single day. This bullish momentum was supported by a 480% spike in trading volume, indicating strong buying pressure and reinforcing the potential for further upside.
However, the altcoin's rally has not been without its challenges. Solana has faced headwinds in recent days, with a sharp retracement pushing its price below pre-election levels. A key demand zone formed at $130, triggering a strong recovery, but the altcoin's inability to establish a solid support base on the 1D chart raises concerns about the sustainability of its uptrend.
From a technical standpoint, Solana's short-term price structure is under close scrutiny. To confirm a breakout beyond $200, SOL must reclaim $180 again and establish higher lows. However, slipping below $170 has shifted the short-term outlook, increasing the probability of a deeper retracement. The altcoin's failure to hold $180 has put bulls under pressure, and spot accumulation has remained weak, with exchange inflows significantly outpacing outflows – a bearish signal indicating a hike in sell-side activity.
Derivatives traders, however, might be doubling down on their positions. Open Interest (OI) has jumped by 15.80% to $5.05 billion, indicating growing speculative activity. Over $1 billion in fresh positions have been opened, largely driven by pro-Solana sentiment. However, the widening gap between speculation and actual demand poses a risk of liquidation cascades in the coming days, potentially leading to a deeper retracement and a revisit of the lower support level at $130 before any confirmed breakout.
In conclusion, Solana's short-term price targets remain uncertain, with the possibility of a drop to $ 