Solana currently represents the largest position in our portfolio, and we have been accumulating significantly over the past few days. Despite its recent correction, Solana remains in an uptrend, and we believe the final target lies between $350 and $400.
Following the recent all-time high (ATH), a correction was expected, as ATH breakouts rarely succeed on the first attempt. Solana is now consolidating within a target zone, which we interpret as Wave 4—a temporary corrective phase within the overall uptrend.
Wave Analysis
Wave 4 Correction
- Structure: The correction aligns with typical Wave 4 behavior, moving sideways to slightly downward within the rising channel.
- Target Zone:
- 0.382 Fibonacci retracement: $196.13
- 0.5 Fibonacci retracement: $178.87
- 0.618 Fibonacci retracement: $163.13
- This range provides a solid accumulation zone, where risk-to-reward dynamics remain highly favorable.
Wave 5 Projection
- Once Wave 4 concludes, Solana should resume its uptrend into Wave 5, which could test the $350 to $400 region.
- The upper boundary of the channel and Fibonacci extensions support this target range.
Key Levels to Monitor
- Support Levels: $178.87 and $163.13 (critical retracement zones)
- Resistance Levels: $196.13 and the upper boundary of the channel near $350–$400
- Invalidation: A sustained break below $163.13 would challenge the bullish structure.
Strategic Insights
- Accumulation Phase: The current correction offers a prime opportunity to accumulate Solana at favorable levels.
- Portfolio Positioning: Solana remains a high-conviction play with the potential for significant upside in the coming weeks and months.
As the overall uptrend continues, Solana is well-positioned to outperform, delivering strong gains as Wave 5 takes shape. We maintain a bullish outlook, with a focus on the $350 to $400 target range.