Solana is currently grappling with a significant liquidity resistance barrier after enduring weeks of extreme volatility and intense sell-off in the crypto sphere. Following a sharp plunge, SOL has finally exhibited signs of buying interest, rekindling hope among traders. Despite the recent rally, Solana is still down by over 47% from its highs in early March, mirroring the overall bearish sentiment that has taken hold of altcoins amidst macroeconomic uncertainty and global conflict.
The price is nearing a critical juncture, and traders are observing keenly. Renowned analyst Big Cheds unveiled insights on this, indicating that a surge “above $125 could initiate long on a 2-level filter,” signifying a potential momentum-driven breakout if SOL can surpass this benchmark convincingly. This level now serves as a pivotal point in Solana’s short-term prospect.
An upward break beyond $125 could rekindle bullish momentum and draw idle capital back into the altcoin market. Yet, a denial at this resistance could stimulate further consolidation or a downturn. Given the still fragile market conditions, all eyes are on SOL’s response to this key zone as traders evaluate the risk-reward balance of a potential breakout.
After enduring weeks of relentless selling pressure, Solana is demonstrating renewed signs of resilience. Following a steep correction that brought SOL down from over $200 to a low of $95, the asset has finally found a breather. Since Monday, Solana has bounced back by more than 25%, powered by improved sentiment and positive macroeconomic news. The rally commenced shortly after US President Donald Trump announced a pause on reciprocal tariffs for all countries except China, which now faces an increased 145% tariff. This temporary alleviation of trade tensions breathed optimism back into the market, igniting a strong uptrend across high-beta crypto assets like SOL.
Big Cheds, a top crypto analyst, shared a bullish forecast, noting that “SOL above $125 could initiate long on a 2-level filter.” This level serves as a vital technical benchmark—crossing above it could signal the end of Solana’s local downtrend and potentially kick-start a lasting bullish cycle. Cheds’ system identifies this setup as an ideal long trigger, assuming volume and momentum follow suit.
If bulls succeed in propelling SOL beyond $125 convincingly, a breakout rally could ensue, backed by improving on-chain metrics and a recovering market sentiment. However, failure to reclaim this resistance could trigger renewed selling pressure or prolonged consolidation. For now, $125 remains the crucial mark.
Currently, Solana (SOL) is trading at $122 after a week of turbulent recovery attempts, but it continues to confront key technical resistance. For weeks, SOL has struggled to break above the 4-hour 200 Moving Average (MA) and Exponential Moving Average (EMA), which are now converging around the $128 level. These indicators have served as robust resistance during past rallies, and bulls must reclaim them to indicate short-term strength and validate the potential for a broader recovery phase.
If buyers manage to push SOL above $128 and maintain it as support, momentum could gain pace quickly, with a potential run toward higher resistance levels. However, failure to rise above these technical benchmarks could dampen bullish sentiment and inspire renewed selling pressure.
Furthermore, the $120 level now emerges as a critical zone of immediate support. Losing this level would undermine the recent rally and pave the way for a deeper pullback. If $120 fails to hold, SOL could drop swiftly toward the $100 level or even lower, revisiting areas of prior consolidation. Traders are watching this range closely, as the next move will likely decide whether SOL embarks on a sustained recovery or continues its broader downtrend.
