beincrypto.com
Solana price continues to trend higher overall, but near-term risks are building. $SOL has formed an ascending wedge since the start of the month, a pattern that often precedes a pullback.
Despite strong investor participation, the setup suggests a potential dip that could undermine recent bullish efforts.
Solana Holders Counter Each Other
On-chain activity shows strong network growth. Since the beginning of the month, the number of addresses conducting transactions on Solana has surged sharply. At its peak, more than 8 million new addresses joined the network within a single 24-hour period.
This increase signals substantial demand for $SOL. New addresses typically bring fresh capital, boosting liquidity and network usage. Such growth reflects Solana’s expanding ecosystem appeal, driven by DeFi activity, memecoins, and high-throughput applications attracting new participants.
Despite rising network adoption, macro momentum tells a different story. Exchange position change data indicates existing holders are exerting a stronger influence on price action. Buying pressure from long-term participants has weakened, offsetting the impact of new capital inflows.
As buying momentum fades, selling pressure is beginning to dominate. This shift suggests that established $SOL holders are reducing exposure or preparing to sell. When legacy supply outweighs new demand, price weakness often follows, increasing the probability of a breakdown from the current structure.
$SOL Price Is Looking at a Correction
Solana price trades near $144 at the time of writing, moving within an ascending wedge formed over recent days. This bearish continuation pattern projects a potential 9.5% decline, placing the downside target near $129 if the structure resolves lower.
The projected drop aligns with weakening momentum indicators. A confirmed breakdown would likely push $SOL toward $136 initially. Losing that support would expose the $130 level, where buyers may attempt to stabilize the price amid broader market caution.
Still, the bearish scenario is not guaranteed. If investor sentiment improves and selling pressure eases, $SOL could rebound from the wedge’s lower trend line. A move above $146 would signal renewed strength. Further upside could carry Solana toward $151, invalidating the bearish outlook.