Solana ($SOL) is flashing serious warning signs on the monthly chart.
The classic Head & Shoulders pattern is forming — one of the clearest reversal setups observed recently. This formation often signals a potential trend shift from bullish to bearish, particularly when confirmed on higher timeframes like monthly charts.
Adding to the concern is a Double Top pattern between Solana’s 2022 all-time high and this year’s recent peak. With two major bearish formations stacking together, caution is warranted.
Key Levels and Outlook
Immediate warning: Traders should evaluate their positions carefully. Exiting or reducing exposure may be prudent if risk tolerance is low.
Targeted downside: $50 is emerging as a potential long-term magnet for price, with the timeframe for such a move possibly extending up to a year.
Market sentiment: The combination of patterns suggests consolidation and pressure may dominate in the medium term.
Takeaways for Investors and Traders
Do not ignore higher timeframe patterns — monthly charts often signal larger macro trends.
Risk management is critical — trimming positions or using stop-losses can protect capital.
Patience is key — even if price temporarily rises, the longer-term technical structure may still favor a bearish outcome.
Solana remains an innovative project with strong fundamentals, but technical caution is warranted until clear support is established.
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