Solana Analyst Expects A Retrace Before It Breaks ATH – Targets Revealed
Solana (SOL) is trading just 6% below its all-time high, with demand levels up a whopping 16% from $212. The rally has caught the attention of traders and investors as SOL’s price action shows a strong upward trend.
Top cryptocurrency analyst Johnny has shared his technical analysis of X, predicting that Solana may rally back to its previous yearly highs before attempting to break its all-time high. This prediction comes at a time of euphoria, with SOL having a stunning performance, surging more than 55% in less than two weeks.
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Fueled by growing demand and strong fundamentals, Solana’s rapid climb has made it one of the market’s standout assets. However, Johnny’s outlook suggests that a healthy pullback may be coming, which could provide a key buying opportunity before SOL challenges its historical price levels.
SOL’s recent performance has reignited optimism in the cryptocurrency spaceall eyes are focused on its ability to maintain strength in the face of potential fluctuations. Will Solana exceed expectations and reach new heights, or is cooling off inevitable?
Solana tests key supply levels
Solana is testing key supply levels just below $250, following a sharp price surge that brought it near all-time highs (ATH). This level is a key battleground, marking the last stronghold for sellers before SOL enters a price discovery phase where new highs can be made.
Cryptocurrency analyst Johnny recently shared his thoughts on Xhighlighting that while Solana’s price action remains strong, it may need to temporarily pull back to lower levels to gather momentum.
According to his technical analysis, SOL could drop to the $220 demand zone, a level he believes is crucial for buyers to step in and fuel the rally. Johnny predicts that Solana is likely to make a strong recovery from here, targeting a significant move above $260 ATH.
Despite the possibility of a pullback, Solana’s bullish momentum cannot be ignored. The asset’s price action suggests it is poised to rise 6% from its highest peak if market conditions remain favorable. Continued strength in the broader cryptocurrency market could amplify buying pressure, helping SOL break its ATH and enter uncharted territory.
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Currently, all eyes are on Solana’s ability to navigate this supply zone. A successful breakout could pave the way to new highs, while a retracement to $220 could provide an ideal springboard for its next rally. Regardless, SOL’s trajectory underscores its growing prominence in the market as traders anticipate its next big move.
Price action details
Solana is trading at $242, holding steady after consolidating below the $250 mark for a few days. This level represents a key resistance as SOL inches closer to its all-time high (ATH). Despite this pause, price action remains strong, supported by broader bullish sentiment across the cryptocurrency market.
However, whether SOL can break above $250 will be a key factor in determining its next move. A successful breakout of this level could set the stage for a retest of ATH, with the potential for a rebound into a price discovery phase. Conversely, if SOL fails to overcome this resistance, it may retrace towards lower demand areas.
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In this case, the next logical support level to watch would be around $222, where buyers can step in to reignite momentum. If the pullback extends further, SOL could revisit last year’s highs at $210, a key level that has implications for price action.
Featured image from Dall-E, chart from TradingView
