Solana price is holding a key multi-month support zone around $143 after weeks of decline, with neutral momentum and analysts looking for an upswing or a breakdown to lower supports.
Summary
- Solana price recovered from a multi-year demand band in which buyers have repeatedly defended the price, but the price is still trading below major moving averages and a key volume intersection.
- Analyst DaanCrypto argues that the downtrend may be nearing an end, highlighting current support as a key high timeframe and mapping nearby pockets of resistance and liquidity as initial upside targets.
- Technical analysts say holding at $143 opens a path to higher resistance zones, while a breakdown could send the price to deeper support levels despite growing meme coin activity on Solana.
Solana price traded above a key support level at $143 after several weeks of decline, according to market data and technical analysis shared by cryptocurrency analyst DaanCrypto.
The cryptocurrency recovered from a multi-month support band that has served as a demand zone for the past two years, where buyers have historically defended the price, chart data shows. The price is currently below a high volume trading node identified in the volume profile analysis and which represents the most actively traded area for the asset.
Technical indicators show Solana (SOL) trading below both the short- and long-term moving averages, while the momentum indicators show neutral numbers rather than active selling pressure in the analyst’s estimation.
DaanCrypto stated that Solana’s price drop may be approaching an exhaustion point, noting that the cryptocurrency is now trading long term. The analyst identified a nearby resistance level as the first target for recovery, with the next key area corresponding to a liquidity pocket in the volume profile that aligns with previous consolidation levels from earlier this year.
The analyst noted that the price is showing the first signs of stabilization, adding that the coming weeks will determine whether sustainable momentum will develop from the current position.
Activity from Solana-based meme tokens has contributed to renewed interest in the ecosystem, according to market observers.
The cryptocurrency’s ability to maintain its position above current support levels will determine whether further gains towards higher resistance zones occur, technical analysts said. A failure to hold the $143 support zone would likely result in a move towards deeper support levels, analysts said.
Solana remains positioned at what technical analysts describe as one of the most important price levels of the year.
