In the past 30 days, Solana (SOL) has experienced a strong bounce of 34%, hitting $193 on Monday — the highest level in five months.
Although still about 35% away from the all-time high of $295, many analysts believe that the world's sixth-largest cryptocurrency is nearing a breakout point and entering a phase of exploring new price levels.
Solana targets $600 after breaking out of the bullish pattern.
Since hitting a cycle low around $10 in November 2022, Solana (SOL) has surged over 2,400%, marking an impressive recovery journey. Throughout this process, SOL has quietly formed a 'cup and handle' pattern across multiple time frames — a signal often preceding sustainable bullish phases.
Analyst Robert Mercer recently shared a technical chart showing that SOL is preparing to break out of the 'cup and handle' pattern, opening up the potential for a strong bullish phase if the important resistance level is breached.
"A complete cup and handle pattern is forming on the SOL chart," analyst Mister Crypto commented, expressing positive expectations.
"I am leaning towards a bullish trend in the current context."
Meanwhile, Trader Tardigrade — a familiar name in technical analysis — also believes this pattern has emerged on the two-month chart of SOL, extending over the past four years. According to him, the long-term target for this pattern could reach $480.
"Breaking out of the handle is just a matter of time," Tardigrade asserted.
On the monthly chart, SOL has broken above the 'handle' at the $155 level — an important technical signal. The 'cup and handle' pattern will officially complete when the price surpasses the neckline at $250. If this occurs, the next upward momentum could extend according to the full height from the bottom of the cup to the neckline.
Assuming the pattern maximizes its effectiveness, the price target for SOL in the 2025–2026 period could reach an impressive $630 — equivalent to a more than 3,000% increase from the current level.
However, investors also need to exercise caution. According to statistics from technical analyst Thomas Bulkowski, only about 61% of cup and handle patterns actually achieve their full price targets. This indicates that while the potential for growth is significant, risks are always present.
High network activity supports SOL's bullish momentum.
Impressive on-chain metrics are reinforcing expectations for a parabolic growth phase of SOL in the coming weeks, as the Solana ecosystem continues to show strong vitality.
In the past 24 hours, the number of active daily addresses has increased by 9%, reflecting the growing interaction from the user community. Meanwhile, the number of daily transactions has also returned to a parabolic growth trajectory since the beginning of 2024, according to data from Nansen.
The total value locked (TVL) on the Solana network reached a six-month high of $10.3 billion on Monday — up from $6.1 billion on April 8, equivalent to an impressive growth of over 63% in just 15 weeks, according to statistics from DefiLlama.
Currently, Solana has risen to become the second-largest blockchain by total TVL in the market, holding 6.28% market share — only behind Ethereum, which dominates with about 68%, nearly ten times that of Solana.
