Key Insights:
Solana sees a potential rally to $300 if it crosses $214.
On the downside, there is also an equal risk of falling to $110 if its price moves below $183.
At press time, Solana dipped below $180, indicating a breakdown.
Solana saw a major correction recently, along with the markets.
However, the factors that took Solana to an ATH of $263.83 are still intact and could stark a major rally towards $4000 if they thrive.
Solana has seen the formation of a symmetrical triangle pattern on its 4-hour charts, which signal that if a breakout above $214 takes place, it will take SOL towards $300 levels.
However, should there be a breakdown below $183, as with all symmetrical triangles, the price risks falling to $110 levels. This means that both sides have an equal probability of showing a 40% move.
At press time, Solana's price has fallen below $183 and was trading at $177. Instead of seeing this as a breakdown, we see it as an opportunity to buy the Ethereum-killer blockchain, i.e., Solana.
Given the situation in the crypto markets, a fall in SOL seems more imminent. This is also the case due to heavy corrections in the memecoins markets, which contribute the most to SOL's price growth.
Seeing the current breakdown in SOL, we might see lower levels of $150 coming soon, with the ultimate low for 2025 at $110. This is true despite whale accumulation because whales have been allowing markets to fall before stepping in to buy, ensuring buying as low as possible.
However, there is still a chance of SOL breaking out. This situation would only unfold if Solana manages to float above $185 levels in the next 24 hours, which has a decent possibility. Lately, several cryptocurrencies, including Ethereum, Dogecoin, and Solana, have seen high whale accumulation.
Despite the current markets seeing severe corrections, the long term prospects of most cryptocurrencies are still intact. This is because all fundamental factors supporting them are more or less unchanged. For example, Solana's TVL figures and DeFi markets are still pretty much intact. Further, its on-chain memecoin markets are still as diverse.
On a technical note, Solana's long-term charts, still show the same cup and handle chart pattern that Ali Martinez identified in December 2024. The chart pattern would only fail if SOL goes below $120.
Solana going below $120 is not feasible at this point because it would mean a 33% correction from current levels. Also, at $150 levels, Solana has a very strong support followed by an even stronger support zone at $125.
Though Solana is unlikely to fall to $110 levels even in the worst possible scenario, if it happens, it would bring the markets with a golden opportunity to accumulate SOL.
Anyways, the crypto markets are seeing a high number of whale accumulations in top altcoins like XRP, DOGE, and ETH. This is because despite all corrections, Layer-1 chains have a very high utility and for that matter Layer-2 chains too. This makes their token extremely valuable in the long run. For example, Ethereum is the core of crypto finance, DOGE represents a faster version of Bitcoin with similar security, and XRP presents the primary infrastructure for the future of cross-border settlements and RWA markets.
Disclaimer: Voice of Crypto aims to deliver accurate and up-to-date information but will not be responsible for any missing facts or inaccurate information. Cryptocurrencies are highly volatile financial assets, so research and make your own financial decisions.