Solana’s price is hovering near $130 after a week of sharp volatility, as traders watch a looming “death cross” that could signal further losses. The cryptocurrency is testing a key support zone between $121 and $123, raising questions about whether the level can hold.
The death cross — when the 50-day moving average falls below the 200-day moving average — is approaching for the first time since early 2023. This pattern is often viewed as a sign of extended downward pressure, prompting caution among investors.
Solana has been trading inside a descending price channel for months, with consistent lower highs reinforcing the broader bearish trend.
Technical indicators show that the market has struggled to break above the middle of this channel, with each recovery attempt losing momentum. If the current support fails, analysts warn the price could fall toward $107 or even $95.
Despite the overall weakness, some buyers continue to defend the lower boundary of the channel. Recent price candles show long lower wicks, suggesting active dip-buying. The Relative Strength Index has also rebounded slightly from oversold levels, hinting at a possible slowdown in selling pressure.
For Solana to show early signs of recovery, analysts say the price would need to close above $144, opening the way toward $146 and the upper channel boundary near $172. A breakout above that level could indicate a broader trend reversal.
However, if the $121 support zone breaks, the upcoming death cross could accelerate downward momentum into early December. Some traders believe that if wider market conditions improve, Solana may eventually shift from a decline into an accumulation phase, creating new opportunities for long-term buyers.
