Key Takeaways
- Wave (v) nearing completion near key resistance levels.
- RSI divergence suggests weakening bullish momentum.
- ABC correction toward the $120–$130 zone is possible.
Solana (SOL) has completed a clear five-wave impulse from the April bottom, suggesting a potential local top is near.
The structure on the higher time frame (4-hour) shows a breakout from the long-term descending channel, followed by sustained momentum.
Meanwhile, the lower time frame (1-hour) points to the final stages of wave (v), after which a corrective ABC retracement may occur.
SOL Price Analysis
The 4-hour chart of SOL shows a completed WXY correction after a peak at $294 on Jan. 19.
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The correction concluded with wave Y bottoming at $98 on April 7, followed by a clear five-wave structure from the low.
The price has broken out of the descending trendline that marked the corrective phase and surged past the 0.5 Fib retracement ($151.96) of the prior bear move from $294 to $98.
The 4-hour Relative Strength Index (RSI) is hovering near overbought territory, showing a bearish divergence from the previous wave (iii) peak, indicating slowing momentum.
Support remains strong in the $118–$124 range, aligning with the 0.618 retracement.
If wave (v) reaches its target, the price could extend to $185.57 (0.382 Fib).
However, given wave exhaustion signals, a correction may be due.
SOL Price Prediction
On the 1-hour chart, SOL appears to be finalizing wave (v), possibly forming a local top near $155–$161.
The rally from wave (iv) is steep and fast, suggesting a fifth-wave terminal point.
The RSI also shows divergence on this lower time frame.
We anticipate an ABC correction after wave (v), with wave (a) likely retracing to the $134–$138 area, the former consolidation.
Wave (b) could rebound SOL into the $151–$155 region before a final drop toward wave (c), potentially bottoming around $120–$125.
This zone aligns with the green support box visible on both charts and the 0.618 Fib of the current impulse.
The projected corrective structure is healthy and would reset indicators while preserving the bullish outlook.
After the ABC correction, a continuation toward $185–$190 remains plausible if the macro uptrend remains intact.
Key Levels To Watch
- Major Support: $134.83 (prior wave iv), $122–$125 (ABC target).
- Immediate Resistance: $155.42 (0.618 Fib extension), $161.02 (0.786 Fib)
- Breakout Confirmation: Close above $161.02.
- Invalidation Level: A Drop below $118 would negate the bullish wave count.
- Fractal Watch Zone: $185–$190 (0.382 Fib and former support zone retest).
Disclaimer:
The information provided in this article is for informational purposes only. It is not intended to be, nor should it be construed as, financial advice. We do not make any warranties regarding the completeness, reliability, or accuracy of this information. All investments involve risk, and past performance does not guarantee future results. We recommend consulting a financial advisor before making any investment decisions.
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