Key Insights
- Solana faces strong selling pressure after repeated rejection near the $144 resistance level.
- The $119 price zone remains a crucial support level as on-chain activity signals a deeper correction.
- Failure to hold above $119 may lead to more losses, reflecting ongoing market weakness.
Solana is under pressure as broader market declines continue to weigh heavily on major cryptocurrencies. On January 25, its value slipped further after failing to hold support above the $127 range. The drop follows rejection from resistance around $144, signaling a persistent downward trend in recent sessions.
Solana’s price recently reached a high of $144.62 but failed to maintain momentum. Strong selling activity pushed the price below intermediate support at $131.45. With further declines, the asset now hovers near $127, with analysts warning of a likely retest of the $119 zone.
Analysts Highlight the Importance of $119 Level
Crypto analyst Ali Martinez noted that $119 has previously served as a significant demand area. During earlier pullbacks, buyers accumulated heavily at this point, sparking rebounds. Current patterns suggest Solana may again rely on this support if downward pressure continues in the near term.
According to Martinez, Solana’s on-chain activity indicates an extended correction phase. Recent market behavior suggests the asset is searching for a firm support zone, with $119 emerging as a critical area to monitor. Holding above this level could help stabilize the asset temporarily.
Selling Pressure Could Trigger Further Declines
If Solana fails to maintain its position above the $119 threshold, it risks opening the door to further losses. A breach of this level could extend the correction, bringing more bearish sentiment to the asset as the broader crypto market continues to struggle.
The latest decline in Solana follows a brief rally earlier in January, which has now given way to broader market weakness. This trend has affected several major cryptocurrencies, not just Solana. While the correction may be temporary, investors are keeping a close watch on whether assets can hold key support levels.
