Solana Price Alert: Two Bearish Scenarios Threaten $162 Plunge After Fakeout Rally

Solana's recent pump might be setting traders up for a brutal reality check. Two ominous technical patterns now point to a potential nosedive toward $162—a gut punch for late bulls.

The breakdown playbook:

1. Dead cat bounce confirmed? SOL's 24-hour 'recovery' shows all the hallmarks of a classic fakeout. Liquidity hunters are circling.

2. Macro resistance holds firm. That $195 level isn't just psychological—it's where institutional sell orders cluster like Wall Street bankers at a bonus party.

Watch the 4-hour chart: If SOL can't reclaim $180 by Friday's close, the algorithmic traders will flip from buy programs to sell cascades faster than a crypto influencer disowns a failed NFT project.

Solana Price Faces Pressure From Bears

Despite bullishness being the order of the day, a crypto analyst has sounded the alarm of bearish pressure mounting for Solana. In the analysis, they explain that the rally that pushed the digital asset over the $190 mark recently was actually a textbook fakeout.

This rally had taken the solana price above the resistance that had been mounting at $170, clearing a path for the rally to $200. This has allowed for a liquidity sweep at these high levels. But now there is a roadblock for the altcoin that could send it back down.

The crypto analyst explains that the solana price is still trading inside the ascending channel despite the rally. Thus, this means that the breakout failed at the time. Such failure suggests that there is not enough strength propping up the price, leaving it vulnerable to bears.

Two likely bearish scenarios were presented by the analyst in response to this. The first was that there WOULD be a direct drop into the maximum pain level (MPL), which lies around $162.30, making it the key downside target. But with the price already breaking above $190, this is unlikely.

The second and most likely scenario is the MOVE up to retest highs before a drop. It could also alternatively form a lower high before dropping, leading to a steep decline. Regardless, both roads lead to the same destination, and that is the fact that the price drops toward the MPL level.

SOL Open Interest Hits Record Levels

The surge in the price has triggered a rapid increase in interest in Solana, and this has seen the open interest for the altcoin hit new all-time highs. The open interest is the total sum of short and long positions open for an asset, and according to data from the Coinglass website, the Solana open interest has now crossed $10.96 billion to surpass its previous high of $8.79 billion.

Interestingly, though, the Solana price is still much lower compared to where it was the last time open interest hit new highs. This could suggest that there could be some steam left before the SOL price begins to slow down again.