Solana (SOL) has reclaimed a key technical level that could determine its next big move. At the time of writing, SOL is priced at around $142, showing a 4% gain in the past 24 hours. Over the last week, it’s down by almost 1% (per CoinGecko data).
Analyst Crypto Patel shared that SOL has bounced from the $130 support level. This bounce lines up with both a horizontal support zone and a long-term rising trendline on the weekly chart. These areas have served as strong turning points before.
Holding above $130 could keep momentum on track and bring targets near $250 and $293 into focus. Both levels have acted as resistance in past market cycles.
However, if SOL closes below $130 again, the structure may flip bearish. This could open the way to $74 and $50, which are marked as key Fibonacci retracement levels and areas of previous price interest.
Additionally, CryptoCurb has outlined what looks like a large Cup and Handle pattern on the long-term chart. The cup spans the move from SOL’s 2021 peak down to its 2023 low and back up. The current range-bound movement is forming the handle.
For this pattern to play out, a move above the $250-$300 range would need to hold. This would set the next key resistance area and could trigger a move toward $2,000 if the price continues upward.
On-chain analyst Ali Martinez has pointed to recent data showing that SOL has entered the capitulation zone on the Net Unrealized Profit/Loss (NUPL) indicator. This means most holders are currently underwater.
According to the data, similar moves into this zone in 2022 lined up with longer-term price bottoms.
“Solana usually bottoms when investors capitulate — and that’s what we’ve seen over the past two weeks,” said Ali.
The trend has caught attention, but the price movement in the coming weeks will show whether it marks a true low.
Institutional participation has also grown. Upexi Treasury, which holds over 2 million SOL, is raising up to $23 million through private placement to support operations and increase SOL exposure.
In ETF news, SOL ETFs pulled in $531 million during their launch week, driven by 7% staking yields and lower fees than Bitcoin ETFs. However, on November 26, the first net outflow was recorded at $8.1 million. Total assets under management remain near $918 million.
