A year after reaching its all-time high (ATH), Solana (SOL) is trading 54.3% below its $293 2025 milestone, attempting to hold a crucial zone as support. Some analysts warned that the altcoin could risk a deeper correction if the price fails to recover the recently lost ground.<\/p>\n
On Sunday, Solana recorded an 8% pullback and hit a two-week low of $130. Since losing the $200 phycological barrier in late October, the cryptocurrency has struggled<\/a> to hold bullish momentum, hovering between the $115-$145 levels over the past three months.<\/p>\n The start-of-the-year rally saw SOL break out of its multi-month downtrend, reclaim the upper zone of its local range, and briefly breach above the key $145 resistance last week. However, Sunday\u2019s market pullback has sent Solana back below key areas.<\/p>\n Amid this performance, market observer BitGuru affirmed<\/a> in an X analysis that the cryptocurrency \u201cjust swept liquidity into a strong demand zone after a clean structure breakdown.\u201d<\/p>\n He explained that the price is attempting to rebound from its local support area, which could trigger a \u201csharp relief move toward previous highs\u201d if the price can hold the current levels.<\/p>\n Meanwhile, analyst Man of Bitcoin noted that the altcoin\u2019s price broke below its two-week ascending trendline, which had been supporting its 17% surge from its yearly opening. Moreover, it also dropped below the $136 mark, where the price had consistently bounced after the recent breakout.<\/p>\n The market observer pointed out that Solana\u2019s short-term support sits between the $129-$136 area, adding that a breach and sustained breakdown from this area would spell trouble for the cryptocurrency.<\/p>\n According to the chart, if selling pressure persists and Solana fails to reclaim<\/a> the recently lost ground, the price could see a scenario where it retraces deeper and potentially falls up to 25% to challenge the $100 area.<\/p>\n Other market watchers highlighted a macro pattern on Solana\u2019s chart, suggesting that a breakdown to new lows could be coming. Notably, the altcoin displays a two-year Head and Shoulders formation in the weekly timeframe.<\/p>\n According to the chart, this bearish pattern<\/a> has been forming since 2024, with the left shoulder developing during the Q1-Q2 2024 rally and the neckline sitting around the $120 area.<\/p>\n Meanwhile, the pattern\u2019s head formed during its late 2024 and early 2025 bullish run, which led to its ATH of $293 a year ago. Lastly, the right shoulder developed after the Q3 2025 rally and Q4 correction.<\/p>\n Based on this performance, trader Slashology affirmed<\/a> that Solana is \u201creally looking bad here,\u201d warning that investors should \u201cprepare for the worst\u201d as the price trades near the pattern\u2019s neckline.<\/p>\nAnalysts Warn Of Head And Shoulder Pattern<\/h2>\n