SOL Price Analysis: Potential Drop to $120 with a Silver Lining
The cryptocurrency market remains volatile, and SOL, the native token of the Solana blockchain, reflects this trend. Technical analysis indicates SOL’s price may drop to $120, signaled by a bearish head-and-shoulders pattern on its daily chart. This classic reversal pattern suggests short-term downward pressure.
Onchain Data Offers Bullish Signals
Contrasting the technical outlook, onchain metrics show strength. The Network Value to Transactions Ratio (NVT) hit its lowest since February 2025, indicating robust network usage versus market value. This metric highlights Solana’s long-term potential despite current price movements.
Exchange Withdrawals Signal Confidence
Investors continue moving SOL off exchanges, demonstrating growing confidence. This accumulation pattern often precedes price rallies, reflecting belief in SOL’s future value.
Critical Factors for SOL’s Trajectory
- $157 resistance: Closing above this level would negate the bearish pattern
- Bitcoin correlation: SOL’s price often mirrors BTC’s movements
- Onchain metrics: NVT ratios and exchange flows remain key indicators
This analysis provides market insights only. Conduct thorough research before making financial decisions.
