CRYPTO MARKET UPDATE

Solana Eyes Breakout Above $120 After 10% Weekly Surge: Bulls in Control Amid Market Optimism

Solana (SOL) is making headlines once again after staging an impressive rebound from a key psychological support level at $100. Following a strong weekly performance, with gains exceeding 10%, SOL is now on the verge of testing a major resistance at $120 — a level that could dictate the asset’s next move in the short to mid-term.

This recovery comes amid a broader wave of optimism across the cryptocurrency market. Bitcoin (BTC) and Ethereum (ETH) have also seen bullish momentum, helping to lift altcoins like Solana, which tend to benefit during periods of heightened market sentiment.

Technical Overview: Signs of Strength Above Key Levels

From a technical perspective, Solana's price action has turned increasingly bullish over the past several days. After dipping to the $100 support zone — a critical level that has held firm on multiple occasions — SOL managed to bounce back, regaining key resistance areas at $105 and $112.

One of the more notable developments was the breakout above a descending trendline at $107 on the hourly chart (based on Kraken exchange data). This breakout was accompanied by a rise in trading volume, indicating a shift in momentum and growing buyer interest.

Furthermore, the price is currently trading well above its 100-hour Simple Moving Average (SMA), which often serves as a dynamic support during uptrends. The short-term bullish structure has been reinforced by a series of higher lows and higher highs on the intraday charts.

Resistance at $120: A Key Hurdle for Bulls

While Solana’s rally has been impressive, the $120 level now represents a critical inflection point. A local high was recently set at $120.10, marking the current resistance that bulls must overcome to confirm the continuation of the uptrend.

So far, multiple attempts to break above $120 have faced some selling pressure. This suggests that traders are taking profits near this level or awaiting further confirmation before entering new long positions.

If SOL manages to decisively close above $120 on strong volume, it could pave the way for a fresh leg higher — potentially targeting the $128–$135 range in the near term. Beyond that, sustained bullish momentum could put the $150 psychological mark back on the radar, particularly if market conditions remain favorable.

What If $120 Holds as Resistance?

On the flip side, failure to break above $120 in the short term could lead to a period of consolidation. In this case, Solana may drift sideways or revisit previous support zones to gather more momentum.

Immediate downside support is located around $112 — a level that acted as resistance earlier and has now flipped into a potential support. Below that, the $107 area — corresponding with the previous trendline breakout — offers additional backing. A deeper correction could even see a retest of the $100 level, though such a move would likely require a broader market pullback or negative news specific to Solana.

Fundamentals and Ecosystem Growth Support Bullish Outlook

Beyond technical indicators, Solana's fundamentals remain strong. The network has continued to see rising developer activity, increased adoption of its DeFi and NFT ecosystems, and improvements in scalability and transaction throughput. Solana Pay, integrations with major payment platforms, and expanding partnerships have also boosted confidence in its long-term potential.

Moreover, the recent launch of Solana-based meme coins and renewed interest in low-cost, high-speed chains have reignited investor enthusiasm — especially in contrast to Ethereum’s higher gas fees. This trend could continue to attract new users and liquidity to the Solana ecosystem.

Final Thoughts: Breakout or Pause Before the Next Move?

Solana has proven once again that it can bounce back strongly from key support zones. The 10% weekly gain and break above several resistance levels point to bullish control in the short term. However, all eyes are now on the $120 resistance. A confirmed breakout could accelerate gains, while rejection may lead to sideways action or a mild retracement.

As always, traders and investors should keep an eye on broader market trends, macroeconomic developments, and any ecosystem-specific news that could influence price action.

In summary, the momentum is clearly on Solana’s side — and the next few days could be crucial in determining whether this rally has more legs to run