Solana has extended its uptrend, bringing the altcoin close to the critical $250 mark. This psychological threshold is seen as a key level for SOL.
However, before reaching it, the crypto token appears to be facing skepticism from a significant group of holders.
Solana Crucial Holders Sell
Data from the HODLer net position change shows long-term holders have started selling their assets. These investors play an outsized role in influencing Solana’s trajectory, as their accumulation often supports recovery while their selling can trigger declines.
SponsoredAt present, long-term holder selling is at a six-month high, reflecting waning confidence. This could pressure Solana’s price in the short term. This would prevent it from securing $250 and reducing momentum if the selling trend continues among these influential market participants.
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On the broader front, Solana’s NUPL indicator suggests the cryptocurrency has yet to reach a saturation point. Historically, a climb toward the Belief-Denial threshold at 0.5 often marks a reversal, leading to extended corrections in the following weeks.
This leaves Solana with room for additional short-term gains before a major cooling-off period sets in.
SOL Price Nears Critical Level
Currently, Solana trades at $235, sitting just 6% below the $250 milestone. Over the weekend, SOL attempted to reach this target but failed. However, it has managed to hold steady above the $232 support level.
If bullish momentum continues, Solana could rebound from $232 and test resistance at $242. A successful breach, particularly if long-term holders slow their selling. This could push SOL toward reclaiming $250 in the near term.
However, if selling pressure from long-term holders accelerates, Solana may struggle to defend $232 as support. This scenario could result in a correction toward $221, undermining bullish momentum and invalidating near-term upward projections.
Midnight