Solana’s $260 Comeback: Can SOL Defy 33% Crash and Rally Again?
Solana bulls eye $260 retest after brutal 33% correction shakes out weak hands.
Technical Breakdown
That 33% plunge wiped out nearly a third of SOL's value—but veteran traders see blood in the streets as opportunity. The same pattern played out last cycle before Solana ripped to new highs.
Market Psychology at Play
Retail panic meets institutional accumulation. While newcomers dump positions at a loss, crypto whales quietly stack SOL bags at discounted prices. Classic bear market behavior that typically precedes massive rallies.
The Road to $260
Solana needs to reclaim key resistance levels, but the blockchain's fundamentals remain stronger than ever. Transaction speeds still smoke Ethereum, and developer activity continues growing despite the price drop.
Of course, Wall Street analysts would call this 'speculative frenzy' while missing every major crypto rally since Bitcoin was $100. Some things never change in traditional finance.
Analysts Watch for $260 Revisit
According to Ali Martinez, solana may be positioning for a return to the $260 area. The chart shows that the price remains within a broader upward channel. Although SOL has declined by 5% in the last 24 hours and over 14% in the past week, it is still respecting the current trend. At press time, it traded at around $193.
Solana $SOL could be looking to retest $260! pic.twitter.com/UriEqCNiX4
— Ali (@ali_charts) October 16, 2025
Notably, the chart outlines $250 to $260 as a key resistance zone. If the price rises into this range but fails to hold, a retracement could take it back toward the $165 to $170 area. This level has acted as both support and resistance in previous moves and is being tracked by traders as a possible downside target.
Moreover, data shared by Bitcoinsensus shows a repeated pattern on Solana’s daily chart. In past moves, 33% corrections were followed by strong rallies. The first recovery gained 93% and the second reached 100% . Each time, the price reversed NEAR the lower boundary of a rising channel.
Solana has recently seen another 33% drop and has bounced from the same trendline. If the pattern continues, the current move could reach into the $280 to $300 range. The channel structure remains intact, with higher lows supporting the idea that buyers are still active.
Liquidity Zones Between $190 and $210
A heatmap posted by CW shows that high-leverage long positions were recently liquidated near the $200 level. The area around $190 is now showing strong buying interest, which is acting as short-term support.
Above current levels, the chart reveals low resistance up to $210. With fewer resting sell orders in this range, the price could rise quickly if there is renewed demand. According to the analyst, “there is no resistance for short positions up to $210,” making it a key zone to watch in the near term.
Furthermore, 21Shares has submitted FORM 8-A(12B) to the Securities and Exchange Commission. This filing is required to complete the process for listing a Solana-based exchange-traded fund. The document was filed after markets closed.
Meanwhile, this registration allows for the launch of a spot Solana ETF, which would provide regulated access to SOL for a broader group of investors. The development is seen as part of ongoing efforts to bring digital assets into traditional financial products.
