Solana price prediction: SOL consolidates near key support as traders eye breakout
Solana stabilizes near support, awaiting confirmation of a breakout above key resistance
Solana (SOL) is currently trading at $125.53, reflecting a 0.19% increase as it consolidates near key support at $120 - $125. The cryptocurrency has been on a downward trajectory since reaching its recent high of $240, with buyers struggling to reclaim bullish momentum.
Despite the bearish sentiment, SOL has found temporary stability in the $120 - $125 range, preventing further declines. If this support holds, Solana could see a short-term bounce toward resistance at $130 - $135. However, failure to maintain current levels may result in a deeper correction toward $110 or lower.
SOL/USD price dynamics (Jan 2025 - Mar 2025) Source: TradingView.
Technical indicators signal potential breakout
Solana’s trendline structure suggests that the asset remains in a descending channel, with lower highs and lower lows reinforcing the bearish bias. However, a breakout above $135 could trigger a reversal, pushing SOL toward $143 - $150.
The Exponential Moving Averages (EMAs) further highlight resistance, with the 20-day EMA at $127, the 50-day EMA at $133.87, and the 100-day EMA at $143.39. A decisive move above these levels would confirm a bullish trend shift, while continued failure to break resistance may lead to further downside.
Meanwhile, the Relative Strength Index (RSI) at 44.06 suggests that SOL is in neutral to slightly oversold territory. A move above 50 would indicate increasing buying pressure, strengthening the case for a trend reversal.
Short-term outlook and key levels
In the short term, Solana needs to break above $135 to confirm a bullish turnaround. A successful breakout could push the price toward $143 - $150, with further upside potential if SOL clears the 200-day EMA at $160. However, a failure to sustain current levels could lead to a retest of $120, with a deeper decline possible if selling pressure increases.
As previously discussed, SOL remains in a consolidation phase, with traders watching for a breakout above $135 to confirm a reversal. The $120 support level remains crucial, as a breakdown could push the price toward $110 or lower.
