Amid the market pullback, Solana (SOL) has hit a new local low after its price fell below a crucial support level for the first time in months. Some analysts have suggested that the altcoin is in a healthy retest of a key area, but others warned that the cryptocurrency risks another major correction if the current levels are also lost.<\/p>\n
On Monday, Solana recorded an 8.3% drop after losing the lower boundary of its three-month range. The cryptocurrency has been trading within the $175-$250 levels after the August breakout, hitting a multi-month high of $253 during the September rally.<\/p>\n
Since then, the altcoin has retraced nearly 35% to the current levels and failed to successfully reclaim the $200 psychological barrier despite multiple attempts. Following the early October correction, when SOL dropped to $168, the price has repeatedly retested the $170-$180 mark as support, bouncing from this area each time.<\/p>\n
Nonetheless, the recent market volatility, which sent Bitcoin (BTC) back to the $107,000 mark, has dragged Solana below its crucial support zone to a new local low of $165. Amid this performance, some analysts have suggested that SOL\u2019s pullback<\/a> may not be over, as the price risks another major correction.<\/p>\n Analyst Ali Martinez highlighted<\/a> the cryptocurrency\u2019s macro range between $100-$260, emphasizing that Solana must reclaim $200 to show strength and potentially target the range highs.<\/p>\n He previously affirmed that a confirmed breakdown<\/a> from the $180 level would set the stage for further losses. Per the chart, the next support level sits around the $158 area, which marks the mid-zone of the macro range and a key support and resistance level throughout the early Q3 run and Last November\u2019s breakout.<\/p>\n However, the analyst considers that the next crucial support actually \u201csits much lower.\u201d As he explained, if Solana fails to bounce from the current levels and reclaim $180, it could face a 30% pullback to $115.<\/p>\n Meanwhile, analyst DonAlt affirmed<\/a> that \u201cIt\u2019s probably wise to have a bearish bias between here and $210 and then aggressively flip if SOL manages to flip the $210 resistance.\u201d<\/p>\n Despite the bearish outlooks, some have suggested that SOL is \u201cshowing a clean retest setup\u201d within its long-term support. Trader Elite Crypto considers<\/a> that SOL\u2019s recent pullback \u201clooks like a healthy correction after months of upward movement.\u201d<\/p>\n He noted that the cryptocurrency is still holding a major ascending support zone that has served as a crucial bounce point since 2023. Based on this, the market watcher expects Solana\u2019s price to retest the $158 area before the next leg up. \u201cOverall, I am still bullish on SOL,\u201d he affirmed.<\/p>\n Bitwise CEO Hunter Horsley suggested<\/a> a bullish long-term performance for the leading altcoin. In an X post, he highlighted that the asset management firm \u201copened a bridge to Solana for many investors\u201d with its recently launched SOL Staked Exchange-Traded Fund (ETF).<\/p>\n Notably, the second wave of crypto-based ETFs started trading<\/a> last week, with the SOL-based investment product recording $400 million of inflows on its first four days. According to Bloomberg analyst Eric Balchunas, it led \u201call crypto ETPs by a country mile in weekly flows.\u201d<\/p>\nInvestor Bet On SOL\u2019s Long-Term Performance<\/h2>\n