As Solana (SOL) trades at multi-year lows, some analysts have lowered their end-of-year targets. Meanwhile, other market watchers have warned that the altcoin risks another 50% correction after a bearish formation was recently confirmed.<\/p>\n
On Wednesday, Solana retraced nearly 10% in the daily timeframe, reaching<\/a> a two-year low of $90. The cryptocurrency had been trading between $120 and $250 in the monthly chart since February 2024, retesting and bouncing from its macro support multiple times.<\/p>\n The altcoin lost this crucial area over the weekend, closing January at around $105. After failing to maintain this level, SOL started the month attempting to hold the $100 psychological barrier and reclaim the $105 resistance as support.<\/p>\n Nonetheless, the latest market movement, which also dragged Bitcoin (BTC) toward multi-year lows, pushed Solana below its bull market lows from last year. Amid this performance, market observer Alex Clay affirmed<\/a> that SOL has \u201cstarted to look bad.\u201d<\/p>\n The analyst affirmed that the altcoin\u2019s chart shows a confirmed bearish formation after the recent price action, noting that it has also lost an important support zone.<\/p>\n Per the chart, the cryptocurrency displays a macro<\/a> Head and Shoulders (H&S) pattern in the weekly timeframe, which has been forming since early 2024. The left shoulder developed during the Q1-Q2 2024 run, while the head formed during its late 2024 and early 2025 rally, which led to its All-Time High (ATH) of $293.<\/p>\n This performance placed the neckline of the bearish formation around the $105 area. Notably, the pattern\u2019s right shoulder began to develop after the Q3 2025 rally and was confirmed during the latest market crash.<\/p>\n Now, the cryptocurrency has fallen below the neckline and could confirm it as resistance if the price closes the week under $105. Clay warned that the pattern\u2019s first target sits around the $42 mark, which would represent a 55% correction from the current levels.<\/p>\n Other market watchers also expressed their concerns about SOL\u2019s future performance, suggesting that a correction toward new lows is likely. Sjuul from AltCryptoGems noted<\/a> that the Solana chart gives \u201ca truly panic-inducing feeling\u201d with \u201ca vast no man\u2019s land!\u201d below it.<\/p>\n Similarly, Crypto Tony asserted<\/a> that after breaking the $100 low \u201cwith conviction,\u201d the next major support for the altcoin sits around $50. To him, a correction toward this area is \u201cobvious\u201d as Bitcoin has \u201cyet to find a bottom.\u201d<\/p>\nSOL\u2019s Chart Tell \u2018Grim\u2019 Story<\/h2>\n