Bitget App
Trade smarter
Buy cryptoMarketsTradeFuturesEarnAISquareMore
Solana: On-chain activity rises, but SOL isn’t done falling – Here’s why

Solana: On-chain activity rises, but SOL isn’t done falling – Here’s why

AMBCryptoAMBCrypto2026/02/01 13:03
By:AMBCrypto

Solana [SOL] has sunk toward the $100 support zone after failing to breach the $150 supply zone.

The bulls had been trying to climb past this resistance since mid-November, but the recent market-wide selling sent the altcoin lower.

Solana: On-chain activity rises, but SOL isn’t done falling – Here’s why image 0

Source: SOL/USDT on TradingView

SOL has a bearish bias on the weekly chart. After the strong performance toward the end of 2024, it saw a bearish structure break in April 2025.

The rejection in September 2025 at the 78.6% retracement level at $252.9 proved that the structure break in April was not a liquidity sweep but a true trend shift.

At the time of writing, it appeared highly likely that SOL would fall below the $95 swing low from April 2025.

The bullish arguments for Solana

Recently, AMBCrypto explored the possibility of a Solana rally toward $300. This was deemed unlikely until the bulls reclaimed the key supply zone at $150.

Another report highlighted that prediction sites such as Kalshi were pessimistic about SOL rallying toward ambitious targets such as $450.

For those with a longer investment horizon, the $1,000 price target was perfectly feasible. VanEck modeled a bullish scenario that presented a price target of $3,200 for SOL by 2029.

News that the network experienced increased on-chain activity was also welcome. It is possible this could make SOL more attractive as an investment, as speculation is converted into tangible economic value.

Traders’ call to action – Sell the bounce

Solana: On-chain activity rises, but SOL isn’t done falling – Here’s why image 1

Source: SOL/USDT on TradingView

The 1-day chart saw a bearish swing structure shift, marked in orange. The $120 and $140 levels were local supply zones. Swing traders can wait for a bounce toward $120 to go short.

The RSI was in oversold territory with a reading of 22. The high selling volume in recent days took the OBV to new multi-month lows.

The $64 and $47.9 were the next long-term support levels. In the coming weeks, $95 and $78 can also see a temporary bullish reaction. A Bitcoin [BTC] drop below $74k would make this bearish scenario more likely.

Final Thoughts

  • The weekly Solana chart showed a bearish structure in place, and a move to $95 was imminent.
  • Swing traders can use a bounce toward $120 to go short, targeting $78 and $64, especially if Bitcoin falls below and stays below $74k.
0
0

Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.

Understand the market, then trade.
Bitget offers one-stop trading for cryptocurrencies, stocks, and gold.
Trade now!

You may also like

US Stock Market Preview | All Three Major Index Futures Rise, Oil Prices Fall, Federal Reserve Rate Decision Coming Tonight

Before the U.S. stock market opens on Wednesday, September 16, all three major U.S. stock index futures are rising.

智通财经2026/09/16 11:56
US Stock Market Preview | All Three Major Index Futures Rise, Oil Prices Fall, Federal Reserve Rate Decision Coming Tonight