SOL is currently standing in an interesting place. The price is trading at $85.91, which has experienced quite a bit of fluctuation over the past week. I was looking at the liquidation heatmap, and what I’m noticing is that there are frequent clusters below $81 and above $89. This suggests that large leveraged positions are hanging around these zones.

What happened when the price tested lower was interesting — it cleared out long positions, then suddenly reversed. After that, when it approached near $90 , many short positions were closed. This kind of movement indicates that this breakout was primarily driven by liquidation, not just organic buying pressure. But here’s the key part — staying above $87 is extremely important. If it drops below, we might likely return to $84.

On the 4-hour chart, I see a clear cup and handle pattern that really caught my eye. The rounded base was formed below $80, where buyers regained control, and resistance was set around $93-$95 . The handle part formed within a narrow range of $84-$86, indicating decreasing selling pressure. Now, if it breaks above $93, more short liquidations will occur, and things could move quickly. Current support is at $90, resistance near $107. If it can go above that, $110 and then the possibilities open up.

From a monthly perspective, this becomes even more significant. SOL recently reclaimed the $80-$90 range, which has now become a major support level. If the bulls hold this support and close above $90 on a monthly basis, it will be a strong trend reversal signal. In that case, we could look toward $120, and then the resistance zone at $160-$87 . But if these supports break, there’s a possibility of further decline toward $180 . The main point is — buyers need to defend these support levels to ensure a long-term change.