Solana's recent price movements have raised concerns among investors as it slips below key support levels. The cryptocurrency, known for its high throughput and low transaction costs, is now facing potential deeper corrections that could impact its market standing. The document underscores a growing issue that many traders are grappling with in the current market climate.
Solana Falls Below Critical Support Level
On January 20, 2026, Solana (SOL) fell below the critical support level of 136, which coincides with both structural support and the 50% Fibonacci retracement level. This breach has triggered a wave of automated sell orders, exacerbating intraday losses and raising alarms among traders.
Market Analysts Warn of Further Declines
Market analysts are closely monitoring the situation, warning that if SOL closes below 129, it could pave the way for further declines, with potential targets set at:
- 120
- 100
Such a drop would signify a complete retracement of the recent gains, prompting concerns about the overall stability of Solana in the current market environment.
Despite recent concerns over Solana's price drop below critical support levels, the cryptocurrency market previously showed optimism with a TD Sequential buy signal for Solana. For more details, see the full report here.
