Solana’s recent milestone is a big one, as the number of wallets holding a minimum of 0.1 SOL has recently exceeded 11.44 million wallets. Traders are digging in on the $148 price point. This zone may set the crypto’s course moving forward. A deep technical analysis on the charts indicates a break of $148 will likely lead to more aggressive selling pressure below $40.
Solana’s price action over the past 5-6 months is more defined by a large accumulation range. The cryptocurrency meets resistance at the high end of its current range. At the same time, it is held hostage by a constricting political vise.
The current price range coincides with the Wave 4 retracement level in Elliott Wave theory. This alignment places even more significance on that level. Any inability to maintain this level would lead to a likelihood of a more severe retracement into the $135 to $126 range.
Now, traders and investors are watching very closely Solana’s price action near the critical $148 barrier. A decisive breakout above this resistance would be a bullish confirmation of momentum re-entering the market, whereas a breakout would likely determine renewed downside.
This trend is a positive sign of increasing adoption and interest in the Solana ecosystem. That growth is now understandably being driven by the increasing popularity of NFT projects. Separately, decentralized applications (dApps) deployed on the Solana blockchain have been playing a part in this too.
The price consolidation and possible deeper retracement speak to the dangers of the cryptocurrency investment. All market participants are advised to manage risks carefully and to do adequate research before investing.
