Solana's Price Shows Accumulation Near $120 as Reversal Signs Emerge

Solana's price is demonstrating early signs of accumulation close to $124. This level defended by repeated support and bullish reactions indicates the potential for a price reversal if significant volume levels are reclaimed.

Key Takeaways

Solana's price is showing signs of accumulating at the $124 support level, hinting at a potential reversal.
The price action reflects a reduction in bearish momentum and an increase in buying activity.
A critical level to watch is the Point of Control (POC), which can signal bullish or bearish market sentiment.
Continued support above $124 is essential for potential upward movement towards $167.

Solana price shows accumulation at key support, reversal possible.

Overview of Solana's Recent Price Activity

Solana price displays accumulation near $120 as reversal signs emerge - 1

Solana's recent market behavior is noteworthy due to its consistent defense of the $124 price zone. The asset has tested this level multiple times, with each attempt resulting in a strong bullish reaction instead of a continued decline. This indicates that demand may be rising, a crucial element for accumulation.

From a volume perspective, Solana is currently trading slightly above its Value Area Low, a price range often considered discounted compared to recent trading activity. When markets linger near the lower end of this range without breaking down, it typically signals that sellers are losing power and that stronger investors are absorbing available supply.

Furthermore, Solana has not managed to close below $124 decisively, despite several attempts. These failed breakdowns are important, as they often trap sellers and initiate short covering once the price stabilizes. The last two declines toward this level were effectively protected by buyers, highlighting that $124 may be establishing itself as a structurally significant point.

However, even as accumulation appears to be developing, confirmation is still necessary. The most vital level to monitor is the Point of Control (POC), which represents the price range with the highest trading volume. The POC often serves as a key pivot between bearish and bullish control. As long as Solana remains below this threshold, any upward moves risk being temporary corrections instead of strong advances.

If Solana manages to reclaim the POC on a closing basis, with robust volume accompanying the move, it would signal a return to value and confirm that accumulation is evolving into a market expansion. This bullish trajectory would likely prompt a shift towards the next significant resistance level at $167, where considerable selling pressure may emerge.

From a market-structure perspective, Solana is attempting to establish a base after an extended downward trend. Accumulation phases are generally marked by sideways price movements, reduced volatility, and consistent defense of support levels—all of which are currently visible in Solana's activity on the charts.

This encouraging setup is occurring alongside a growing interest in Solana's fundamentals. Its revenue is steadily approaching that of Ethereum, and investors are increasingly investigating structured-yield platforms like SolStaking, which enhances the chances of a trend reversal if specific levels are reclaimed.

While bullish reactions are prominent, overall trading volume has been average. A successful market reversal will require increased trading volume, especially during any breakout attempt above the POC. Without sufficient volume confirmation, the risk remains that Solana’s price could become stuck within a broader consolidation range.

Outlook for Future Price Movement

As long as Solana maintains a price above $124 and continues to safeguard the Value Area Low, accumulation is expected to remain in play. The next critical signal to observe is a strong and high-volume reclaim of the Point of Control. Achieving this would enable a move towards the $167 mark. Until then, Solana's price may continue in a consolidation phase, creating pressure for a significant directional shift.