Solana’s dramatic rise has caught the attention of market watchers this week, as the cryptocurrency attempts to claw back to a pivotal level. On Tuesday, Solana (SOL) saw a 9.6% surge, fuelled by the announcement of Solana Mobile’s global shipments of its second-generation Web3 smartphone, the Seeker, to over 50 countries. This development propelled SOL to a multi-day high of $171, igniting optimism among investors. However, the crypto has since slipped back to the mid-zone of its local range.
SOL’s Battle for Stability
Solana’s price narrative over the past few months has been anything but steady. Since its breakout between April and May, SOL has oscillated within the $140-$180 range. A June correction even saw it dip to the $120-$130 zone, but a rally in July brought it back to the upper echelons, briefly touching a five-month high of $206. Fast forward to today, and SOL sits at $163, a 3.3% decline on the daily timeframe, testing investors’ patience and nerve.
Analyst Ali Martinez shines a spotlight on Solana’s critical juncture, pointing to the UTXO Realized Price Distribution (URPD) indicator. Martinez identifies the $165 mark as a crucial support area, where 44.4 million SOL—accounting for 7.42% of the supply—rests. Failing to reclaim this level could see it morph into formidable resistance, potentially pushing prices further down. Yet, should SOL reclaim its footing, it faces a fresh challenge: breaking through resistance levels at $177 and $189, where substantial investor interest lies.
The Path Forward: Boom or Bust?
Crypto Jelle, a market analyst, suggests that Solana is “quietly trending higher,” with recent price action characterized by higher lows. Jelle is optimistic about SOL’s prospects, forecasting a new all-time high this quarter. His conviction lies in the belief that once SOL breaks the $200 resistance, the momentum may be unstoppable—at least for this quarter. This optimism is further bolstered by recent developments, such as the launch of a $537M SOL stake pool by DoubleZero, aimed at enhancing the Solana validator network.
In contrast, Crypto Batman offers a more cautious outlook. He foresees a potential 10% dip, eyeing the four-month ascending support line at around $150. This support has proven resilient before, having bolstered SOL’s rallies in past months. Batman argues that another dip might be necessary before the “real move” kicks in—a sentiment echoed by analyst Ted Pillows, who anticipates a 10%-15% correction, predicting a dip to the $140-$150 range before a reversal.
Historical Context and Future Speculation
Solana’s roller-coaster ride is not just a tale of numbers—it’s a reflection of broader market dynamics. Despite recent underperformance, network activity remains robust. In fact, Solana has seen all-time highs in activity, even as $70 million in SOL moved to Binance, highlighting the ongoing interest and engagement with the network. In the world of cryptocurrencies, where volatility is the norm, Solana remains a key player, with its community and development initiatives continually evolving.
As investors weigh their options, the market waits with bated breath to see if SOL can reclaim lost ground. Will it rally to new heights, or will further corrections test the resolve of its holders? That remains the million-dollar question. In this ever-fluctuating market, the next few weeks could prove pivotal for Solana—raising questions about whether this trend can continue, or if it’s merely a temporary blip in an otherwise bullish narrative.
Source
This article is based on: Solana To Drop Before The ‘Real Move’? Analyst Forecasts New Highs In Q3
Further Reading
Deepen your understanding with these related articles:
- Crypto Markets See Red as Solana, XRP, Dogecoin Extend Losses
- SEC Exempts Liquid Stakers Like Ethereum’s Lido, Solana’s Jito From Securities Laws
- Bitcoin, Ethereum ETF Swoon Likely Temporary Blip Before Next Surge: Analysts
Steve Gregory is a lawyer in the United States who specializes in licensing for cryptocurrency companies and products. Steve began his career as an attorney in 2015 but made the switch to working in cryptocurrency full time shortly after joining the original team at Gemini Trust Company, an early cryptocurrency exchange based in New York City. Steve then joined CEX.io and was able to launch their regulated US-based cryptocurrency. Steve then went on to become the CEO at currency.com when he ran for four years and was able to lead currency.com to being fully acquired in 2025.
