A recurring bottom signal on Solana’s SOL token has emerged, pointing to a potential bullish reversal. This pattern, marked by consecutive candles with long lower wicks, has historically been a reliable indicator of significant price gains.
A Pattern Proven in the Past
The same signal was first observed in 2023 when SOL experienced a 1,604% rally, and again in 2025 when the altcoin gained 142%. Currently, both SOL futures and spot market data suggest a gradual increase in market activity, with the price approaching a key weekly level that could reinforce the bullish bias.
Market Analysts Weigh In
Crypto analyst WebTrend has highlighted that the current pattern on the weekly chart is characterized by consecutive candles with long lower wicks. This structure often signals that selling pressure is being absorbed as buyers consistently step in at lower levels. “We are currently confirming a macro bottom setup with the same signal that successfully called the 2 most meaningful bottoms in the last 3 years,” WebTrend noted.
Technical Indicators and Market Sentiment
Solana’s price structure looks increasingly constructive, with a strong breakout on the daily chart aligning with an ascending triangle pattern. The price is currently holding above $93.50, a level that previously acted as resistance. Based on this pattern, the next upside target is near $120, a level that served as support for much of 2024 and 2025. If reclaimed, it could act as a strong base for further upside, with $145 emerging as the next potential level if momentum continues.
Derivatives Data Shows Cautious Optimism
While the price structure is bullish, derivatives data suggest that the recovery is still developing. SOL’s open interest has remained below $2.3 billion since the February 6 price bottom, indicating that traders are not aggressively increasing leverage yet. This points to a cautious environment rather than a longer-duration rally. On the spot side, the cumulative volume delta (CVD), which tracks net buying and selling, has stabilized over the past month, showing that selling pressure has eased.
In the futures markets, the CVD has improved to -$2.8 billion from -$3.5 billion since February 24, reflecting a $700 million reduction in selling. This suggests that while the bearish pressure is fading, strong buy demand has not emerged yet. The aggregated funding rate has also remained neutral, meaning neither bullish nor bearish positions are dominant.
Looking Ahead
The data points to a spot-driven recovery, with the $120 level remaining a key zone to watch. This level acts as an important threshold for both trader positioning and market sentiment. If SOL can break and hold above $120, it could trigger a wave of bullish momentum, potentially leading to a significant price rally.
While the technical and market conditions are favorable, investors should remain cautious and monitor the broader market dynamics. Every investment and trading move involves risk, and readers should conduct their own research when making a decision.
About the Author
