Solana (SOL) is showing early signs of a possible price recovery, supported by improving technical indicators and rising trading activity. On December 26, 2025, SOL traded near $124, holding above a key support zone as market sentiment slowly improved.
Analysts say the combination of a stabilizing price, rising volume, and easing selling pressure could open the door for a move toward $140 if current support levels hold.
RSI suggests selling pressure is easing
One of the main signals traders are watching is Solana’s Relative Strength Index (RSI), which stands at 41.82. While still below the bullish threshold, the RSI has moved away from oversold levels, suggesting that selling pressure may be fading.
Historically, RSI levels above 30 often indicate that a market is stabilizing. If the RSI continues to rise, it could signal a shift toward bullish momentum.
SOL has gained about 1.9% in the past 24 hours, adding to optimism that the recent downtrend may be slowing.
Key support levels remain intact
Solana is currently holding within the $118–$120 support zone, a level that has acted as a floor during previous pullbacks. Buyers have repeatedly defended this area, making it a critical zone for short-term price direction.
As long as SOL stays above this range, analysts believe a short-term rebound remains possible. A successful move higher could put the $140 resistance level back into focus, representing a potential 13% upside from current prices.
Trading volume jumps sharply
Another bullish sign is the sharp rise in trading activity. Solana’s 24-hour trading volume has surged by nearly 94%, suggesting renewed interest from traders.
Higher volume during price stabilization often indicates accumulation, as investors position themselves ahead of a possible move higher. However, analysts caution that volume spikes alone do not guarantee a sustained rally.
Ecosystem developments support sentiment
Beyond technical indicators, Solana continues to benefit from activity within its ecosystem. The network remains popular for decentralized finance (DeFi) and NFT projects due to its fast transaction speeds and low fees.
Market attention has also turned to a proposed Solana–Cardano cross-chain bridge, which could allow liquidity to move between the two networks. If implemented, the bridge could improve usability and attract more users and capital to Solana.
Broader market trends add support
Solana’s outlook is also tied to the wider crypto market. Bitcoin posted modest gains during the session, helping lift sentiment across major altcoins.
Institutional interest has also grown since the launch of a Solana ETF earlier this year. Analysts say continued inflows into regulated products could provide long-term support for SOL’s price.
Outlook
Solana is showing early signs of stabilization after recent weakness. Holding above key support levels, combined with rising volume and improving RSI readings, keeps the $140 level in play.
However, traders remain cautious. A clear breakout above resistance will be needed to confirm a stronger bullish trend.
Disclaimer: This article is for news and informational purposes only and does not constitute financial advice. Cryptocurrency prices are volatile. Always do your own research before investing.
