Solana Price Tests Key Support at $120: Break or Bounce in 2026?

TLDR

• SOL price trades near the crucial $118–$120 zone after a sharp 2025 pullback.
• Loss of $120 could open downside toward the $50–$70 range in 2026.
• A multi-year ascending trendline still supports the long-term bullish case.
• Holding $120 keeps rebound potential toward the $180 region alive.

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Solana (SOL) price could enter 2026 trading near a critical inflection point after a strong 2025 cycle. Analysts are divided between a deeper corrective phase and a potential long-term accumulation opportunity. With price hovering around $120–$124, the market is focused on whether key support holds or gives way to a broader reset.

Solana Price Nears Critical Support After Cycle Pullback

According to analyst Crypto Tony, Solana price is approaching a level that could define near-term direction. His analysis highlights the importance of the $118–$120 zone, where price is currently consolidating after retreating from 2025 highs. Failure to hold this area could accelerate downside momentum.

SOURCE: X

The wider market structure reflects a familiar post-cycle pattern. Strong rallies were followed by sharp corrections, with selling pressure gradually easing. Volume has declined during the pullback, suggesting reduced aggressive distribution rather than panic selling.

Additionally, the analyst noted that a loss of support may open downside toward the $50–$70 range. Conversely, a sustained defense could stabilize conditions and invite tactical longs. For now, traders remain cautious, monitoring reactions closely as liquidity thins around year-end.

Long-Term Trendline Keeps Bullish Case Intact

In the meantime, according to analyst Gordon, Solana price weekly chart continues to respect a multi-year ascending trendline. This diagonal support, originating near 2021 lows, has guided the price through multiple market cycles. Current consolidation remains above this structure despite recent weakness.

SOURCE: X

Gordon’s long-term outlook emphasized accumulation rather than short-term volatility. He suggests that repeated defenses of the trendline reflect sustained adoption and ecosystem growth. This perspective frames pullbacks as part of a broader bullish expansion rather than trend failure.

Fundamental developments reinforce this view. Network upgrades and scaling improvements have strengthened Solana’s institutional appeal. While a breakdown below trendline support would shift risk toward a deeper retracement, probability currently favors consolidation and eventual continuation over the long term.

$120 Level Splits Bearish and Recovery Scenarios

In contrast, analyst Ali’s chart presented a cautious projection based on a 3-day timeframe. The analyst’s chart highlighted $120 as a decisive support level separating stability from extended downside. A clear break could confirm a bearish continuation toward $50, or even lower, in 2026.

SOURCE: X

This scenario reflects the asset’s historical volatility rather than certainty. Solana price has previously experienced sharp drawdowns before finding durable cycle bottoms. Ali’s projection underscores the importance of confirmation rather than anticipation in uncertain conditions.

However, a successful defense of $120 could invalidate the bearish extension. Holding above this level would keep the door open for a rebound toward the $180 region seen in 2025. As a result, traders are watching closely for capitulation signals or structural shifts before committing.

Overall, Solana price remains at a technically sensitive point. Short-term risk persists, but long-term structures have not decisively broken. Whether the Solana price breaks lower or rebounds from support will likely shape sentiment and positioning through early 2026.

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