The Solana price lost around 10% of value during the recent market downturn, which is similar to plunges seen in DOGE or Ethereum.
Popular crypto analyst Ali Martinez posted a viral Solana chart today, sharing insights on potential SOL price movements ahead.
What you'll learn 👉
Solana Price Analysis
The SOL price is currently forming a symmetrical triangle pattern on the 4-hour timeframe. This pattern emerges from converging trendlines – a descending resistance line forming the upper boundary and an ascending support line creating the lower boundary. As the Solana price moves closer to the triangle’s apex, we’re seeing typical consolidation behavior with narrowing volatility.
Martinez highlights two crucial price levels in his analysis: resistance at $214 and support at $183. The upper resistance aligns with the 0.618 Fibonacci retracement level, while the support sits just above the 0.236 Fib level. According to Martinez, a breakout above $214 could trigger a substantial 40% move upward, while a breakdown below $183 might lead to a 40% decline.
#Solana $SOL is consolidating within a symmetrical triangle! A breakout above $214 or below $183 could spark a 40% move. pic.twitter.com/brilMiu3M9
— Ali (@ali_charts) January 12, 2025
What Comes Next for Solana?
The symmetrical triangle suggests that Solana is approaching a decisive moment. If SOL breaks above $214, the price could target the 0.786 Fibonacci level at $234.97, potentially extending to around $300 (representing the projected 40% surge). Conversely, a drop below $183 might see SOL testing lower support levels, with the 0% Fibonacci retracement at $155 and possibly extending toward $110 (matching the 40% downside scenario).
Currently trading at $186.28, SOL sits close to the triangle’s lower boundary near the 0.382 Fibonacci level, making the $183 support particularly significant. The market appears to be waiting for a clear directional trigger, with decreasing volume typical of such consolidation phases.
The Fibonacci retracement levels provide additional context, with $214.96, $201.97, and $189.76 serving as potential pause points during any price movements. These levels often act as short-term support or resistance zones, helping traders identify possible market reactions.
Read also: Expert ‘Confident’ Solana (SOL) Price Could Reach $400 This Cycle – Here’s Why
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