 ▲ Solana (SOL) |
Solana (SOL) is attempting to break above the strong technical resistance at $89, raising the possibility that it could end its downtrend and return to a full-fledged upward rally.
According to crypto-focused media outlet The Crypto Basic on February 10 (local time), Solana recently fell to the low $80 range amid a broader market correction but is now stabilizing around $84 as it seeks to rebound. The success of this rebound largely depends on whether it can decisively break above the $89 level, which is identified as a strong resistance zone by the Supertrend indicator. The $89 mark is regarded as the most significant technical hurdle that has blocked Solana’s recovery attempts over recent weeks.
The Relative Strength Index (RSI) is currently around 41, signaling that the asset is gradually emerging from oversold conditions. However, the Moving Average Convergence Divergence (MACD) still indicates lingering bearish momentum, suggesting that a bullish breakout would require strong accompanying trading volume. Analysts believe that if Solana manages to break above the $89 resistance, it could quickly recover to $95 and then reclaim the psychologically important $100 level.
On the downside, failure to break through the $89 resistance could force Solana into another painful test of the key support level around $78. If that support is also breached, warnings are emerging that losses could deepen toward the low $70s or even the mid-$60s. On higher time frames, Solana remains under prevailing downward pressure, leading investors to maintain a cautious stance while watching whether the $89 level can be firmly established.
Despite the price decline, on-chain activity within the Solana ecosystem remains relatively resilient. Capital inflows into decentralized finance markets and the number of active addresses are staying at high levels compared with competing Layer 1 assets, which could serve as a strong fundamental base if prices rebound. External factors, including Bitcoin (BTC) price stabilization and shifting capital flows toward XRP, are also cited as variables that could influence Solana’s short-term direction.
Ultimately, Solana is at a critical crossroads where it must decide whether to signal the start of a new upward cycle or undergo further correction in the face of the formidable $89 barrier. Whether this resistance is broken within the week is expected to be a key indicator of whether Solana can regain market leadership during the first quarter.
*Disclaimer: This article is for investment reference only, and no responsibility is taken for any losses resulting from investment decisions based on this content. The information provided should be interpreted solely for informational purposes.*