After an explosive move to $253, Solana (SOL) has entered a much-needed correction phase, cooling off from its recent highs. The current pullback appears healthy within the broader uptrend — a textbook reset after an extended rally.
📉 Price Action Overview
On the weekly timeframe, SOL has retreated to the $186 zone, hovering near the 25-period moving average (MA25). This region also aligns closely with the 0.618 Fibonacci retracement level at $176.88, forming a strong potential support area where buyers could start showing renewed interest.
If momentum returns and the candle closes the week above $191–192, it may confirm the start of a new accumulation phase — potentially setting the stage for a rebound.
⚙️ Technical Levels
Supports:
$176.88 (0.618 Fibonacci) — Key zone of potential re-entry.
$155.82 (0.786 Fibonacci) — Strong secondary support if deeper correction continues.
Resistances:
$206.48 (0.382 Fibonacci) — First hurdle to reclaim momentum.
$224.79 (0.236 Fibonacci) — Critical level for confirming bullish continuation.
📊 Indicators and Moving Averages
RSI (6): 41.75 — Currently hovering near the oversold region, signaling that selling pressure may be easing, though no confirmed divergence yet.
Moving Averages: The MA(7) has crossed below the MA(25), suggesting a temporary loss of short-term momentum. However, the MA(99) continues trending upward — a strong sign that the long-term structure remains bullish.
🧭 Market Outlook
Solana’s structure still favors the bulls on higher timeframes. The ongoing correction is forming above a key Fibonacci zone — historically a launchpad region before renewed expansion.
If the weekly close holds above $191, a gradual recovery toward $206–224 could follow in the coming sessions. However, failure to defend the $176 zone might open room for a dip toward $155, where fresh buying interest could emerge again.
In short: SOL is resetting, not reversing.
⚠️ This analysis is for educational purposes only and does not constitute financial advice.
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