SOLANA Bulls Face Intense Pressure: Critical $125 Level Tested Amid Volatility

• Solana faces a rising wedge breakdown that has pushed its price below critical support, creating serious concerns of further potential market weakness.
• The stochastic RSI remains oversold near 19.80 and 9.89, suggesting that sellers may be exhausted and a short-term potential rebound could emerge.
• The accumulation/distribution indicator at 27.94M remains stable, indicating that some long-term buyers continue supporting Solana’s price near crucial levels amid current volatility. 

Solana (SOL) is experiencing growing volatility while market players monitor key support lines and breakdowns in the wedge. At press time, SOL was valued at $145.57, representing an overall price rise by 5.89% in the day.

Key Technical Observations

Crypto veteran Ali Charts warns that bulls must defend the $125 support level. The chart reveals a rising wedge, a bearish formation known to precede steep declines when support is lost. SOL recently broke below $150, prompting concerns about additional selling pressure.

The stochastic RSI sits at 19.80 and 9.89, indicating oversold conditions. Such readings often suggest that sellers may be exhausted, potentially allowing for a relief rally. Meanwhile, the accumulation/distribution indicator holds at 27.94M, suggesting that some investors remain interested in accumulating positions at lower price levels.

Support and Resistance Zones

A major support zone lies between $125 and $126, which has held firm on previous tests. Should this area fail, analysts project a deeper pullback toward $90, followed by a possible drop to $58-$65. This region coincides with historical support, forming a potential floor if the decline continues.

On the upside, traders watch $150-$160 for signs of a rebound. A successful move above this band could target $180-$200 if momentum strengthens. The upper resistance near $260-$300 has capped previous rallies, reflecting its importance as a long-term barrier.

Possible Outcomes

If SOL maintains a foothold above $125, a short-term recovery remains plausible. This scenario hinges on increased trading volume and broader market support, especially if Bitcoin stabilizes. Traders eye potential gains toward $160 or higher in that case.

However, a clear break below $125 might spark a liquidation cascade, intensifying downward momentum. Such a move would likely test $100 and possibly the $85-$90 range. Market participants remain watchful today as a breach of critical support can often trigger major price changes within short timeframes.