Solana is still moving cautiously within a consolidation phase, and the price action suggests a temporary recovery could happen before the market makes its next big move. While short-term momentum has started to stabilize, SOL still faces key resistance levels that will determine whether this bounce turns into a stronger breakout or fades into another downward wave.
Solana’s Corrective Recovery Scenario Begins to Take Shape
Looking at the 1-hour chart, Elliott Waves Academy points to a possible short-term recovery for Solana. This corrective move is labeled as wave (2)/(B) and is likely forming a complex double zigzag pattern as the market tries to stabilize after recent selling pressure.
To confirm this recovery, a clear breakout above the upper line of the current diagonal pattern is essential. Also, breaking through the key resistance level tied to the previous bearish wave would strongly support this upward correction, which is expected to stay within the price channel shown on the chart. The main target for this relief rally is the 50% to 61.8% retracement zone of the prior decline, with a possible extension up to the 78.6% level. Ultimately, the structure depends on how price reacts to this resistance zone.
If the recovery fades and selling resumes, this area will likely become a focal point for sellers. But if the market forms higher lows and follows up with a series of impulsive waves, the trend could shift toward sustained upside.
Solana Remains Stuck Inside a Broad Range Structure
MCO Global DE noted that Solana continues to trade sideways within the same broad range that has controlled price action for months. According to the analysts, the market still lacks a convincing breakout signal, and recent moves on lower timeframes are mostly short-term noise.
The expert explained that the main scenario remains largely unchanged, with several important support zones still holding. Immediate support is around $81.28, while significant support lies between $71.92 and $77.96. MCO Global DE added that another short-term dip is possible before Solana attempts a renewed recovery within the larger B-wave structure. At the same time, the analysts warned that the market remains vulnerable to deeper corrections as long as key resistance near $96 holds.
Overall, MCO Global DE believes Solana is still trapped inside a large range-bound structure, with no clear sign of a bigger bullish breakout yet. Until buyers successfully break through major resistance levels, especially near $96 and eventually $110, the broader market outlook is expected to stay cautious and neutral.
Featured image from Pxfuel, chart from Tradingview.com
Frequently Asked Questions
Here is a list of FAQs about the statement The structure of Solanas price suggests a temporary recovery before the next big decision
BeginnerLevel Questions
Q What does temporary recovery mean for Solanas price
A It means the price might go up for a short time but this increase isnt expected to last Think of it as a breather before the price likely moves again in a big wayeither up or down
Q What is the next big decision for Solana
A This usually refers to a major event that will determine Solanas longterm direction It could be a key technical upgrade a court ruling on a legal case a major partnership or a broader market trend
Q How can I tell if Solanas price is in a temporary recovery
A You might see the price bounce up after a steep drop but it fails to break through a key resistance level Trading volume is often lower during these bounces meaning fewer people are buying
Q Should I buy Solana now because of this temporary recovery
A Not necessarily A temporary recovery is risky for buying If you buy youre betting the price will keep going up but the analysis suggests the move is shortlived Its often a better time to sell or wait for the big decision to happen
Q What is a price structure in simple terms
A Its the pattern of highs and lows on a price chart A healthy structure makes higher highs and higher lows A weak structure makes lower highs and lower lows The phrase suggests the current structure is weak but a small bounce is expected
IntermediateLevel Questions
Q What specific chart patterns suggest a temporary recovery
A Common patterns include a bear flag or a dead cat bounce Both are considered continuation patterns meaning the price will likely resume falling after the bounce
Q How do I identify the next big decision on a chart