SOL Bulls Strike Back — But Is It Sustainable?

Solana continues to respect technicals with precision — after a +42.9% move from the $95 low, we're now at a pivotal moment in price structure. Let’s break down what’s happening and where the high-probability setups lie.

📍 Key Bounce Zone – Golden Pocket Confluence

• Local Low: $95.26
  
• Golden Pocket Zone (0.618–0.666): $97.09–$94.82
  
• This area acted as a major demand zone, with price sharply rebounding.
  
• First Volume Spike: Followed by retracement into Golden Pocket Zone at $102.
  
• Second Volume Spike: Occurred right after touching Anchored VWAP ($108.21) from the $95.26 low, which added beautiful confluence with the Golden Pocket Zone – a secondary high-conviction long entry.
  

📈 Rally to Resistance – Short-Term Climax

• After the anchored VWAP retest, SOL rallied into the key resistance zone aligned with the 0.786 Fib retracement from the previous down move — a historically reactive level and a prime profit-taking zone.
  
• Monthly 21 EMA ($135.83) and the monthly 21 SMA ($133) — both key dynamic resistance zones.
  
• Low-volume retest of that key high suggests buyer exhaustion, not continuation — a classic setup for a short-term reversal.
  

🧭 Current Market Structure

• Current Price Action: Trading above both the weekly open ($128.38) and the monthly open ($124.54).
  
• This forms a critical S/R zone between $124–$128, now acting as a potential battleground for bulls and bears.
  
• As long as price stays above this zone, momentum remains with the bulls.
  

🔍 What to Watch Next – Reclaim or Reject?

Key Support to Watch:

• $125 (psychological level) and monthly open at $124.54 – This zone is likely to be liquidity-hunted. Expect a sweep of this low, look for the reaction.
  
• Daily Support Confluence: currently at 21 EMA: $123.77 & 21 SMA: $123.27
  

1.) 📈 Scenario A – Bullish Reclaim:

• If SOL sweeps the low and shows strong buying reaction (bullish engulfing candle, volume spike), it sets up a potential long opportunity towards the weekly open, to watch for the next reaction.
  

2.) 📉 Scenario B – Failed Hold:

If there's no bullish reaction at $124–$125, expect further downside.

• First target = $122
  
• Second target = $120.65
  

🎯 Tactical Game Plan

Bulls:

• Watch for reaction at $124–$125 – potential scalp long with tight SL.
  
• Confirmation on volume expansion and break of $128.38 for continuation.
  
• Re-enter long after clean retest of weekly open from above.
  

Bears:

• Short setup possible if weekly/monthly open is broken and retested as resistance.
  
• First TP = $122, second TP = $120.65.