Solana Price Prediction: Bearish Breakdown or Bullish Reload? Market Watches $170–$175 Zone Closely

Solana is back in the spotlight after DeFi Dev Corp added another over 181,000 SOL to its holdings, signaling strong conviction from big players. This comes just as SOL challenges with a key support zone near $175, making participants wonder if a major breakout is on the cards.

Solana has received another vote of confidence from DeFi Dev Corp, which has added over 181,000 SOL to its holdings, now totaling more than $218 million. The move reflects a clear buying spree, with the firm averaging a purchase price of $155.33 and reporting double-digit weekly growth in SOL per share for the second week straight.

DeFi Dev Corp ramps up its Solana holdings to over $218M, signaling strong institutional confidence. Source: DeFi Dev Corp via X

While the broader market remains cautious, moves like these suggest certain players see deeper upside ahead. As long as Solana maintains its structure above key support zones, this buying spree could set the tone for the next big leg.

After DeFi Dev Corp’s major accumulation move, another signal of strength has emerged, this time from the charts. RJT WAGMI’s recent update shows Solana breaking above $200 with zero resistance, and the clean breakout is now forming a potential stair-step continuation pattern. The structure hints at sequential legs higher, with targets expanding towards $260, $300, and possibly even $400, assuming momentum holds.

Solana breaks above $200 with stair-step bullish structure, eyeing $260 to $400 targets. Source: RJT WAGMI via X

Technically, the resistance zone near $200 has been tested once earlier this week, and if that breaks, it could set the stage for a multi-phase breakout.

Just as Solana hovers around $178, fresh data from CoinAlytix reveals a major pocket of short liquidations sitting just above current levels. According to CW, a mere 5% price increase from here could trigger a cascade of forced buybacks, flipping the order book in favor of bulls. This hidden fuel could act as a launchpad, especially as the broader structure remains bullish following DeFi Dev Corp’s accumulation and the breakout momentum highlighted by RJT WAGMI.

Solana hovers near $178 as short liquidations pile up between $185 and $190. Source: CoinAlytix via CW on X

The chart also shows a dense concentration of open interest between $185 and $190, adding to the pressure on short positions. If SOL can push through that wall, the Solana price prediction could see $300 in 2025.

While the recent focus has been on breakout targets and bullish positioning, WebTrend’s latest update adds a cautionary layer. According to the chart, Solana has now closed below its 20-day simple moving average (SMA-20), marking a short-term trend flip to the downside. This development doesn’t invalidate the broader bullish thesis, but it does suggest short-term momentum is shifting.

Solana dips below its 20-day SMA, signaling short-term weakness. Source: WebTrend via X

From a technical standpoint, the SMA-20 often acts as a dynamic support in uptrends. A clean breakdown below it, especially after multiple rejections near $185 to $190, may lead to further cooling unless quickly reclaimed. For now, this bearish cross contrasts with the bullish energy seen in recent whale activity and liquidation pressure zones.

Following mixed reports related to Solana, the price has now broken below its ascending broadening wedge and is now clinging to a major horizontal support zone. The zone between $170 and $175 has repeatedly acted as a reaction area over the past two months. If this level gives way, the chart leaves little room before opening up to deeper downside, possibly into the mid-$160s or even $160.

Solana tests key support between $170 and $175 after wedge breakdown. Source: Marcus Corvinus via X

However, there’s still a path for recovery. If buyers step in here and defend the horizontal base, a bounce could lead to a swift retest of the wedge breakdown zone near $185 to $190. The recent accumulation by DeFi Dev Corp and short liquidation pockets hovering just overhead add some potential fuel, though momentum needs to turn quickly before this breakdown starts accelerating.

Solana is clearly at a pivotal moment. On one side, whale accumulation, bullish breakouts, and heavy short pressure hint at a potential surge towards $260 or even $300. On the other hand, breaking below the 20-day SMA and the wedge pattern raises red flags about short-term weakness. It’s a tug-of-war between bulls and bears.

Whether SOL climbs from here or dips first, the $170 to $175 zone remains the battleground to watch. If buyers defend it, the upside could come fast, especially with liquidation fuel stacked above. But if that base breaks, the $160s might be next.