The upward swing came at a pivotal moment when SOL was on the brink of sinking into lower demand zones, following a sharp 47% plunge since early March. The shift in market dynamics has grabbed the attention of market players, particularly as the wider market mood starts to regain balance.

Renowned analyst Big Cheds presented a technical analysis suggesting a “long thesis trigger” for Solana, following the recovery of several key chart levels. These comments are stoking anticipation of a broader recovery phase for SOL, contingent upon bulls sustaining the current levels and building up momentum.

As traders keep a close eye on upcoming resistance and key indicators, the forthcoming days will play a crucial role in determining if Solana’s rally will endure or if it will be another fleeting rebound in an unstable macro environment.

Solana has witnessed a remarkable 40% gain since last Monday, rekindling bullish optimism and inciting debates among analysts and traders: Is this the inception of a continual upward move, or will SOL stabilize around its current price?

The surge occurred shortly after the US President Donald Trump declared a 90-day halt on reciprocal tariffs for all countries, excluding China, which is now faced with a 145% tariff. This news triggered relief rallies across risk assets, with Solana being one of the biggest beneficiaries.

Big Ched’s analysis indicates that Solana initiated a long thesis upon successfully breaching the $125 resistance level. This move is viewed as a breakout confirmation, suggesting the formation of a bullish structure.

However, the persistent global tensions and fears of trade wars continue to instill uncertainty into financial markets. For Solana, maintaining above the $120–$125 support zone will be pivotal in establishing if the recent bounce will persist or if further stabilization is on the horizon.

Currently, Solana (SOL) is trading at $131, having finally surpassed the 4-hour 200 Moving Average (MA) and Exponential Moving Average (EMA), which were seated around $125 and $128, respectively. This shift indicates a potential short-term trend change favoring the bulls, who now hold some advantage after reclaiming these essential technical levels.

For the rally to continue and form higher highs, SOL must preserve its position above the $125 level and strive towards the next major resistance around $146. This would consolidate the bullish belief and validate a recovery rally in the broader trend.

Nevertheless, risks persist. If Solana fails to remain above $125, the bullish setup could quickly disintegrate, and the price may revisit the $100 demand zone. Amid the still high global market volatility caused by ongoing macroeconomic tensions, traders are closely observing this support-resistance range to determine whether SOL can maintain its upward momentum or revert to consolidation.

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