Solana’s price has fallen below $200, but analysts suggest the cryptocurrency is still positioned within a bullish structure. With the token trading near a critical support level, its next move could determine whether it rebounds toward new highs or faces a deeper correction.
Technical indicators show that Solana remains within a parallel price channel that has been guiding its movements since July 2024. This structured pattern, characterized by higher highs and higher lows, suggests a potential climb to $225, with an extension to $260 if bullish momentum holds.
However, analysts warn that maintaining support above $190 is crucial for this outlook. A drop below this level could disrupt the bullish trajectory and trigger further declines. In the past week, Solana has encountered strong resistance at $205, facing rejection at this level three times.
Solana Faces Strong Resistance
This comes after the token reached a 30-day high of $293, underscoring the intense volatility it has experienced in recent weeks. Despite these fluctuations, the broader trend remains upward, with buyers preventing a significant breakdown. Well-known crypto analyst Ali Martinez has emphasized the importance of Solana’s current trading pattern.
Using Fibonacci extension levels projected from Solana’s October 2023 low of $125, Martinez identified key resistance and support zones. He pointed out that if Solana maintains its position within the parallel channel, there is a strong possibility of a recovery toward $225 and, eventually, $260.
However, a decisive drop below $190 would invalidate this bullish outlook and expose Solana to further downside risks. The $190 support level has already been tested multiple times this month, including a brief dip to $184 on February 3 before buyers stepped in to push prices back up.
While this level has held so far, its continued proximity raises concerns about a possible breakdown if bearish pressure intensifies. A break below $190 could accelerate losses, leading to a retest of lower levels and possibly a more extended correction.
On the other hand, a strong defense of this support could reinforce buyer confidence, paving the way for a potential breakout above $205 and a move toward higher resistance levels. As traders closely watch this critical price zone, Solana’s ability to hold above $190 will likely determine whether its bullish momentum continues or a sharper decline unfolds in the coming days.
