Can Solana Price Rebound After $590M Sell-Off?

The crypto market faced a sharp $590 Million sell-off that triggered widespread liquidations, yet Solana showed notable resilience.

The SOL price traded near $182 after falling 1.97% in 24 hours and roughly 22% over the past week, leading analysts to believe the token could still stage a short-term recovery if broader conditions stabilized.

Market-wide Liquidation Shakes Crypto Sentiment

The previous trading session was among the most volatile of the year. Total liquidations exceeded $590 Million in 24 hours as sudden selling pressure swept through digital assets.

Traders faced forced position closures, particularly across leveraged long and short trades, following a rapid shift to risk-off sentiment.

Bitcoin, Ethereum, and several large-cap tokens saw deep intraday losses as cascading liquidations intensified.

Analysts said the move reflected a market-wide deleveraging event rather than a change in the long-term trend.

Liquidity data showed that buy orders began absorbing the sharp declines, suggesting that the market entered a temporary reset phase.

Events of this nature, they added, often cleanse excess leverage and leave behind cleaner technical structures for accumulation once volatility cools.

Solana Price Defends Major Support Trendline

Despite the broader market stress, the Solana (SOL) price maintained technical integrity. The token found solid support around its long-term ascending trendline near recent lows, showing that buyers continued to defend key structure levels.

Analysts said this reaction indicated that market participants remained active at structurally significant zones.

Momentum indicators such as the Relative Strength Index (RSI), which measures price strength and weakness, stabilized near neutral at the time of writing. This suggested the worst of the selling might have passed.

If momentum improved, analysts projected that SOL could attempt a retest of nearby resistance, though conviction remained cautious given the recent decline.

Volume data also showed contraction, implying that sellers lost dominance after the initial liquidation phase.

Analysts said such patterns often precede a stabilization period or a gradual recovery.

Solana Price Shows Relative Strength Against Peers

Market observer ShangoTrades said SOL outperformed most top-layer tokens during the correction. While coins such as BNB, ADA, and AVAX recorded losses of up to 50%, Solana’s drawdown remained more limited.

Analysts interpreted this as a sign of relative strength and deep liquidity in the order book. Periods of market stress tend to highlight which assets hold institutional interest and long-term conviction.

When one token absorbs volatility better than its peers, it frequently signals potential leadership for the next recovery phase.

Solana’s ability to resist deeper losses placed it among the few large-cap tokens maintaining a bullish technical posture even amid panic selling.

The data also supported the view that larger holders or “whales” continued to accumulate SOL during dips.

Analysts pointed out that such behavior often precedes renewed upside once market confidence returns.

Analysts Keep Bullish Long-Term View on Solana Price

Analyst Jelle said that even though the recent correction went deeper than expected, Solana’s higher-timeframe chart remained structurally bullish.

The ongoing pattern still resembled a cup-and-handle setup, which traditionally signals continuation after consolidation.

The formation’s projected target stood near $600, but only if the token maintained its base structure.

The zone near recent lows now formed a crucial support area defining Solana’s long-term trajectory. As long as the SOL price stayed above that range, the prevailing uptrend remained valid.

The liquidation phase likely cleared out overleveraged traders, reducing volatility risk and setting up cleaner conditions for the next advance.

Analysts also noted that higher lows continued to appear on the daily chart, a characteristic of constructive market structure rather than breakdown behavior.

Solana Price Outlook Points to Possible Recovery

Solana’s technical strength during the latest market flush suggested that accumulation might already be underway.

Despite heavy selling pressure, the token respected major supports and avoided structural breakdowns. Analysts viewed these signs as evidence of ongoing demand rather than capitulation.

If the broader crypto market stabilized, SOL could attempt to recover toward higher resistance zones in the coming sessions.

A confirmed breakout above those levels would open potential targets closer to the mid-$200 range, well below its all-time high of $294.

Maintaining the current floor around $180 would preserve the bullish setup, while a recovery through nearby resistance would confirm renewed upside momentum.

In a market characterized by extreme leverage and rapid sentiment swings, Solana’s ability to hold its ground positioned it as one of the more resilient assets at press time.