Solana (SOL) has shown strong gains recently, rising near 3% in a week, but technical signals now point to a potential short-term pullback. With price action stalling near $150-$153, analysts suggest that a dip to the $144-$146 support zone is likely before any sustained rally resumes.

TD Sequential and Fibonacci Levels Signal Rejection

According to analyst Ali Martinez, a TD Sequential 9-candle sell signal near $152 has coincided with the 1.0 Fibonacci extension—indicating strong resistance. Since then, SOL has slipped to $149.50, with bears eyeing a possible retest of the $146 support. If bulls fail to defend this level, downside targets include $142 and $138.

This area has previously served as a consolidation zone, adding to its technical significance. A daily close below $146 could shift market bias to bearish in the short term.

Elliott Wave Analysis Supports Healthy Correction

Elliott Wave patterns outlined by Man Of Bitcoin show Solana in a five-wave structure from its June lows. Wave (3) peaked near $150, while wave (4) retraced to around $130. The ongoing wave (5) now appears to be pausing between $150 and $153.

Micro support at $144.79 is key for maintaining the bullish structure. A bounce from here could set the stage for a move toward $156-$160. However, failure to hold may reset the trend toward $138 or lower.

Derivatives and Volume Show Bullish Bias With Caution

Data from CoinGlass reveals growing open interest and a positive long/short ratio, suggesting traders are still positioned bullish. Yet, a 59% drop in options volume signals fading conviction, and total trading volume has declined 30% in the past 24 hours to $1.98 billion.

Recent liquidations also suggest that short positions were squeezed, but if SOL falls below $148, the pressure may flip to longs. Funding rates remain neutral, indicating the market is not overheated—yet leverage remains a risk.

Despite near-term weakness, Solana’s broader trend remains bullish. Traders should watch the $144-$146 zone closely: a successful defense could fuel the next leg higher, while failure may open the door to deeper retracements.

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