Solana Price Weakness at $170 Indicates Possible Correction Ahead

Solana's price has shown a weak recovery after bouncing off the $131 support level, testing resistance at $165–$179. The low trading volume signals limited strength in this rebound, increasing the risk of a continued bearish trend.

Key Takeaways

Solana recently rebounded from the $131 support level but is facing resistance at $165–$179.
Low trading volumes suggest a lack of strong bullish sentiment.
The $165–$179 range is crucial for determining whether the price will rally further or fall back into a bearish trend.
If Solana fails to break above $179, it may resume a downward movement towards the $131 support level.

Solana price weakness suggests reversal of current bounce.

Solana’s Price Overview

Solana’s price has recently shown a small recovery after retesting the support level at $131, which has previously acted as a critical structural pivot. However, despite this bounce, it has been marked by low trading volume, signaling a lack of conviction among buyers.

Currently, Solana's price is approaching the $165–$179 zone, an important resistance area that will dictate if the cryptocurrency can continue its positive momentum or if it will revert to a negative trend.

Technical Analysis of Solana’s Price

Solana price weakness at $170 suggests a local top, is a correction next? - 1
SOLUSDT (1D) Chart, Source: TradingView

From a technical standpoint, Solana's price structure remains fragile despite the recent bounce. The $165 region marks the lower end of the value area, while the $179 level aligns with the 0.618 Fibonacci retracement, both creating a significant resistance zone. For Solana to gain short-term bullish momentum, it must break through this area decisively.

If Solana fails to reclaim the $179 level, it might simply result in another lower high within the broader bearish trend. This could lead to a decline back toward the $131 support level. The $131 area holds significant demand, and repeated failures to hold this level might point to deeper price corrections, potentially reaching below $120.

The current trading volume supports a cautious approach. The increase from $131 has not been driven by significant bullish buying, making it susceptible to a swift reversal if market sentiment shifts negatively. In the absence of sustained buying pressure, this rebound could just be a short-term corrective phase rather than a full trend reversal.

Looking Ahead: Future Price Action for Solana

As long as Solana continues to trade above the $131 level, there remains a possibility for short-term upward movements. However, actual confirmation of a reversal will require a definitive break above $179. If this breakout does not occur, renewed selling pressure may lead Solana back into ranging trading patterns.