Solana (SOL) has embarked on a renewed advance above key technical thresholds, trading above $125 and breaking a bearish trend line, but faces meaningful resistance near $128 and $130 that will help define its near-term trajectory.
What Happened: Price Action And Technical Levels
SOL began a recovery in recent sessions, climbing above intermediate support at $122 and $125 against the U.S. dollar. Trading data show the token cleared a descending trend line that had acted as resistance around $124 on short-term charts, and prices have held above the 100-hour simple moving average.
The rebound carried SOL through the 61.8% retracement of its prior pullback, but upward momentum has stalled as sellers appear near the $128 mark.
Immediate upside hurdles include the 76.4% retracement of the recent down move and a cluster of resistance just above $130, with a more significant barrier forming near $135.
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If buyers fail to overcome these impediments, SOL risks fading back toward short-term support near $124.50 and more substantive bids near $122.
Should those levels give way, market structure suggests a deeper retracement toward the $117 zone, with a breach below that exposing potential for further declines toward roughly $105.
Why It Matters: Market Dynamics And Indicators
Technical indicators offer mixed signals for SOL’s immediate outlook.
Momentum measures such as the hourly MACD have lost bullish steam even as the relative strength index remains above 50, indicating that the recovery lacks broad conviction. The ability of the price to hold above its moving average suggests demand remains sufficient to prevent steep sell-offs, but the persistent resistance near key Fibonacci levels underscores the challenge facing buyers.
In broader cryptocurrency markets, similar patterns of resistance and consolidation have been observed across major assets, reflecting a period of cautious positioning by market participants ahead of macroeconomic catalysts and sentiment shifts.
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