After testing the $130 price level, Solana appears to have found solid ground according to multiple onchain indicators. Technical charts and blockchain data are aligning to suggest that SOL may have established a local bottom, potentially setting the stage for a move back toward $200 resistance levels.
Solana (SOL) has captured traders' attention as multiple data points converge to suggest the cryptocurrency may have established a significant bottom at the $130 price level. This development comes after a period of consolidation and raises questions about whether SOL is positioned for a rally back to its recent range highs near $200.
Onchain metrics are painting an increasingly bullish picture for the fifth-largest cryptocurrency by market capitalization. Three key data points are supporting the thesis that $130 represents a local bottom: strong accumulation patterns, declining exchange reserves, and favorable network activity metrics. These indicators suggest that selling pressure may be exhausted at current levels.
Accumulation patterns reveal that long-term holders have been steadily increasing their positions during the recent price weakness. This behavior typically signals confidence in the asset's future prospects and often precedes upward price movements. Additionally, the outflow of SOL from centralized exchanges indicates that investors are moving their tokens to cold storage, reducing immediate selling pressure.
Network activity on Solana has remained robust despite price volatility. Transaction volumes and active addresses have maintained healthy levels, demonstrating continued real-world usage and ecosystem development. This fundamental strength provides a solid foundation for potential price appreciation.
From a technical perspective, the $130 level has served as a critical support zone, with multiple tests failing to break below it. This price action has created a strong base from which SOL could launch its next leg higher. The cryptocurrency's ability to hold above this threshold, even amid broader market uncertainty, suggests underlying strength.
Traders are now watching for confirmation signals that could trigger a move back toward $200. Key resistance levels along the way include $150 and $175, which will need to be cleared for bulls to regain full control. Volume profiles suggest that a decisive break above $150 could accelerate momentum toward range highs.
While the outlook appears constructive based on current data, market participants should remain cautious. Cryptocurrency markets remain volatile, and external factors including regulatory developments and macroeconomic conditions could impact price action. Risk management remains essential for those considering positions in SOL at current levels.
The coming weeks will be critical in determining whether Solana can capitalize on its apparent bottoming pattern and mount a sustained recovery toward previous highs.