Usman Salis
⬤ Solana's SOL token has pushed higher after breaking free from an extended consolidation phase, now trading comfortably above the $130 support zone that previously capped upside attempts. The price action reflects growing buyer confidence as 2026 kicks off, with SOL showing clear signs of momentum shift after months of sideways movement. The recent 4-hour chart reveals three distinct phases: an initial downtrend, a prolonged flat consolidation range, and the current recovery leg where bulls have taken control.
⬤ During the consolidation period, SOL bounced between resistance and support within a relatively tight channel as momentum reset from earlier losses. The token has since broken above that range and is building on recent gains, currently holding in the upper $130s. The reclaimed support level—once a ceiling during consolidation—now serves as a potential foundation for further upside. Market watchers note that "the reclaim of this support level is seen as a constructive development for SOL, as buyers have stepped in with stronger participation."
⬤ This shift matters because Solana ranks among the most heavily traded large-cap cryptocurrencies, meaning its price movements often influence broader market sentiment. The improved technical structure suggests buyers are back in the game after a long period of indecision. If SOL can hold above current support, it could signal strengthening momentum across the sector and reinforce the view that demand remains solid heading into the new year.
⬤ Solana extend this recovery phase, or will the market hit pause after the recent bounce? How price reacts around these levels will determine whether bulls can keep pushing or if another consolidation period is in the cards. For now, the technical backdrop looks more positive than it has in months, with SOL showing the kind of structure that typically precedes further gains when support holds firm.
Usman Salis
