Technical analysis of SOL (Solana) token
The SOL token, which operates on the Solana blockchain, is one of the leading cryptocurrencies in the decentralized finance (DeFi) and decentralized applications (dApps) space, thanks to its high speed and low transaction costs. Based on current data as of August 31, 2025, the price of SOL is around $203-205, with a 1% increase in the last 24 hours, but a 2% decrease in the past week. The market cap reaches around $110 billion, making it the sixth globally. The trading volume in the last 24 hours exceeds $5 billion, indicating strong market activity.
Main Technical Trends:
• Weekly Chart: SOL has been trading within a rising channel since April 2025, with testing the upper limit at $215-225. The recent rejection at this level indicates selling pressure, but the overall trend is bullish as long as the price remains above $200. The chart shows an ascending triangle pattern, which is a continuation pattern that tends to break bullishly in 70% of historical cases.
• Moving Averages:
◦ 50-day Moving Average (50-day SMA): around $181, upward and indicates a positive short-term trend.
◦ 200-day Moving Average (200-day SMA): around $159, also upward and confirms the long-term bullish trend. Prices above these averages enhance confidence in the upward trend.
• Relative Strength Index (RSI): at 54-59 on the daily timeframe, indicating a neutral state. Not in the overbought area (Overbought >70) or oversold (Oversold <30), but approaching 60, which might lead to a temporary slowdown. On the weekly timeframe, it shows a slight bearish divergence, where the RSI is making lower highs while the price is rising, warning of momentum fatigue.
• MACD Indicator: Positive with a bullish crossover for 27 days, and the histogram is turning green, indicating the building of upward momentum. However, low volatility in volume indicates the need for stronger confirmation.
• Support and Resistance Levels:
◦ Support: $196-200 (near term), then $175-185 (strong support overlapping with moving averages and lower channel). If it drops below $175, it could reach $147-160.
◦ Resistance: $206-215 (first), then $225-230 (major, overlapping with the upper channel limit). A breakout above $230 could push towards $250-275.
• Volatility: 7.75% in the last 30 days, with 60% green days. The Fear & Greed Index at 39 (Fear), indicating potential buying opportunities if the upward trend continues.
Fundamental factors influencing:
• Network Growth: Solana processing 100,000 transactions per second (TPS), and DeFi growth to $10.7 billion. Companies like Upexi and Kitabo have recently invested $22 million in SOL.
• Risks: Previous network issues (9 incidents in 2025), and delays in the Solana ETF until October. Competition from Ethereum Layer-2 may pressure the price.
• Market Sentiment: Analyses from CoinCodex and Changelly indicate a bullish sentiment (Bullish 73%), with expectations of a 4-14% increase in the coming month.
Price Forecast for 2025:
Based on analyses from multiple sources (such as CoinCodex, Changelly, InvestingHaven):
• Minimum: $171-195 (if a downward correction occurs due to volatility).
• Average: $213-325.
• Maximum: $213-400 (with the potential to reach $482 in a strong bullish scenario, supported by upgrades like Alpenglow and potential ETF).
Trading recommendations for this week (September 1-7, 2025):
Based on the current technical setup, SOL is in a consolidation phase with the potential for a bullish breakout. The general sentiment is bullish, but the divergence in RSI warns of a short-term correction.
• General Recommendation: Buy if it holds above $200, with a target of $215-220 (5-8% increase). If it drops, it is a buying opportunity at support. Avoid selling unless it drops below $175 (bearish signal).
• Long-term Strategy:
◦ Entry Point: Above $206-215 (confirmation of breakout), or during a correction to $195-200.
◦ Target: $220 (near term, +8%), then $230-250 (if it breaks above $215).
◦ Stop Loss: $191-196 (below nearby support, 5% risk).
◦ Risk/Reward Ratio: 1:1.8 (good for short trades).
• Short-term Strategy: If it rejects at $215, sell with a target of $195. However, this is less likely due to the bullish trend.
• General Advice:
◦ Watch for a breakout above $215 with increased volume to confirm momentum.
◦ If a correction occurs, it is healthy and a buying opportunity, especially with the current market fear.
◦ Use only 1-2% of capital for each trade, and follow news such as ETF decisions or network updates.
◦ Warning: Trading carries high risks; this is not financial advice. Do your own research (DYOR) and consult a specialist. The market is volatile, and prices may change based on global events.
