Traders monitor critical demand area after sharp pullback
Solana’s price retreated on Monday, sliding by over 4% in the past 24 hours to trade around $221 against the U.S. dollar. The decline comes after SOL failed to hold above recent highs near $237, bringing the token back to a major support level that could determine its short-term direction.
Technical charts highlight the $215–$220 zone as an immediate support level, marked in green, where buyers previously entered in late August. A successful defense here could keep Solana in its broader uptrend, which has been intact since mid-June.
“Solana’s latest pullback looks healthy given the steep run-up over the last two months. Holding above $220 is critical — if this level breaks, downside pressure may extend toward the $185 region,” said BITX market strategist.
On the upside, Solana faces heavy resistance around $260–$270, where sellers capped gains earlier this month. Beyond that, a stronger barrier lies near $300, a zone that rejected rallies at the start of the year.
“For Solana to sustain bullish momentum, it must break above $260 with volume confirmation. Otherwise, the risk of repeated rejections remains high,”According to BITX technical analysts.
Trading activity in Solana remains active, with nearly 936,000 SOL tokens exchanged in the past day. Despite the recent decline, SOL is still up significantly from its June lows below $130, reflecting strong investor interest in the ecosystem.
Market participants are now watching whether the current support test around $220 holds firm or gives way to deeper correction. A bounce from this level could reignite bullish momentum, while a breakdown might signal a shift toward consolidation in the coming weeks.
At present, Solana’s outlook is neutral with a bearish tilt, hinging on the market’s reaction around its current support zone.
Disclaimer
This content is for informational purposes only and does not constitute financial, investment, or legal advice. Cryptocurrency trading involves risk and may result in financial loss.