Data from CoinMarketCap shows that Solana (SOL) has not registered a significant net price change over the past month. However, daily price analysis shows that the prominent altcoin reached a local peak near $97 in early May before entering the current downtrend. Currently, the Solana market, alongside the broader market, is dominated by bearish sentiment, as evidenced by the weekly price loss of 4.09%.
In one X message on May 30, renowned market analyst Ali Martinez shares an important insight into the Solana market, highlighting a horizontal channel formation on the daily chart. For context, the horizontal channel is formed by two flat, parallel lines that act as support and resistance, within which the price moves sideways. It is generally indicative of a market in consolidation, where a breakout above resistance (the upper bound) is a bullish signal, and a breakout below support (the lower bound) is a bearish signal.
Solana near crucial price point: will the market rise to $87 or retreat to $58?
According to Martinez’s analysis, Solana has remained within the current horizontal channel since early February. During this time, the altcoin has consistently established its resistance around $97.79, following two retests in March and April. Meanwhile, the channel’s support is around a critical level of $78.17, driven by price visits in February and April.
$78.17 is one of the key support levels for Solana $SOL now.
Staying above that could trigger a recovery towards the mid-range at $87, while a breakdown could open the door to $58. pic.twitter.com/wLhQS3rnDA
— Ali Charts (@alicharts) May 30, 2026
After the recent price rejection at the upper limit in May, Solana is heading towards its usual support at $78.17, while current prices are hovering around $83. Martinez explains that market bulls must ensure that the common support line holds to maintain the range-bound structure. In this case, a bullish scenario would be a successful retest of $78.17, after which the price returns to the center of the horizontal channel at $87.
On the other hand, a negative case would be a breakdown below the marked support level. Martinez explains that such a development would expose Solana to even more downsides, with an immediate target of $58, which represents a potential loss of 30% at current market prices.
Solana Market Overview
At the time of writing, SOL is trading at $82.91, after a small gain of 0.22% on the last day. Meanwhile, daily trading volume fell 33% to $2.22 billion. These statistics suggest that the market is a little volatile, driven by a decline in participation and the number of transactions.
Notably, data from SoSoValue shows that US SOL Spot ETFs have maintained a net weekly positive performance for the fourth week in a row. However, net inflows have been on a downward trend since the peak of $58.12 million in the second week of May. These figures reached $2.36 million in the fourth week of May, representing an 84% decline from the $15.63 million recorded in the third week.