Solana (SOL): Has the Correction Reached a Strategic Buying Opportunity?

In November 2025, Solana (SOL) finds itself at a crossroads. The token has weathered a sharp correction, with its price dipping below $132 after a brief rally to $140 in late November. On-chain activity has also deteriorated, with decentralized exchange (DEX) trading volume collapsing by 95% year-over-year. Yet, beneath the surface, Solana's network has demonstrated resilience that could signal a turning point for the blockchain.

Short-Term Volatility: A Mixed Bag of Technical Signals

Solana's technical indicators paint a nuanced picture. The Relative Strength Index (RSI) currently sits at 43.94, hovering near oversold territory but still reflecting bearish momentum. Meanwhile, the Moving Average Convergence Divergence (MACD) line remains above the signal line, hinting at lingering bullish momentum-though the histogram's fading strength suggests waning buying pressure.

The 50-day moving average's position below the 200-day line-a bearish "death cross"-confirms a downtrend. However, price action has stabilized around key support levels between $121 and $123, with buyers stepping in to defend these thresholds according to market data. If bulls can reclaim resistance at $135 and $140, the narrative could shift toward a recovery. Conversely, a breakdown below $121 risks a cascade to $107 and $95 according to technical analysis.

Long-Term Fundamentals: A Network Built for Resilience

While technicals remain mixed, Solana's long-term fundamentals are gaining traction. In late 2025, the network absorbed a historic DDoS attack peaking at 6 terabits per second (Tbps)-the fourth-largest in internet history-without skipping a beat. Solana co-founder Anatoly Yakovenko emphasized that the attack had "zero effect on performance," with block production and transaction confirmations averaging 450 milliseconds. This resilience, driven by architectural upgrades like QUIC protocols and optimized consensus mechanisms, contrasts sharply with Sui's struggles under similar attacks according to market reports.

Beyond security, Solana's infrastructure improvements are paying dividends. Annual downtime has plummeted by 98%, and incident response times have improved by 90% since 2024. The hybrid Proof of History (PoH) and Proof of Stake (PoS) consensus model continues to deliver throughput exceeding 1,000 transactions per second at sub-cent fees. Validator decentralization efforts and upcoming upgrades like Firedancer-set to enhance speed and reliability-further solidify Solana's position as a high-performance blockchain.

Market sentiment remains bearish. Solana's DEX trading volume has collapsed to $1.7 billion, and active addresses have hit a one-year low of 2.85 million according to market analysis. Negative funding rates and declining open interest in derivatives markets underscore selling pressure. Yet, there are glimmers of hope. Coinbase's integration of Solana-based tokens at Breakpoint 2025 signals growing institutional interest, while the network's ability to maintain stability during a DDoS attack has bolstered confidence among developers.

Strategic Buying Opportunity: Balancing Risks and Rewards

For value-driven investors, the question is whether Solana's current price reflects its long-term potential. The token's technical indicators suggest a volatile near-term outlook, with support levels critical to holding. However, the network's fundamentals-resilience, throughput, and ecosystem growth-position it as a compelling candidate for 2026 momentum.

If Solana can stabilize above $121 and retest $135, the path to $140 and beyond becomes viable. A successful rebound would likely coincide with broader crypto market recovery and continued institutional adoption. Conversely, a breakdown below $121 could test deeper support at $107, with further downside to $95 if sentiment deteriorates further according to technical analysis.

Conclusion: A Calculated Bet on Resilience

Solana's current correction offers a strategic entry point for investors who believe in its long-term vision. While short-term volatility remains a risk, the network's ability to absorb a historic DDoS attack and its ongoing infrastructure upgrades reinforce its value proposition. For those willing to navigate the near-term noise, Solana's fundamentals suggest a strong foundation for 2026.