Solana (SOL) has reached a key price threshold, testing the $190 mark following a 40 per cent surge from June lows. The rally brings SOL face-to-face with a historically significant supply zone, where over eight million tokens were previously accumulated.
According to data from Glassnode, this $189 to $191 range represents one of the most densely held cost basis zones for holders. It is the same area that marked the top before Solana’s earlier decline, making it a key battleground between bulls and sellers. Many addresses are now either at breakeven or seeing slight profits, which could prompt a wave of selling pressure.
Price history and on-chain data both identify this zone as a pivotal point. Throughout February and March, rallies stalled just below this region. The convergence of technical resistance with cost basis clusters further underscores the challenge facing the asset as it tries to break higher.
Thin Resistance Above $190 Could Accelerate Gains.
While this level poses a risk of rejection, the distribution heatmap suggests that supply becomes less concentrated above $190. If Solana is able to maintain a close above this range, reduced overhead resistance could allow a faster move upward.
Recent price action supports this view, with SOL staging a strong V-shaped recovery from late June. The rebound brought the asset back to reclaim support zones near $155 and $171, setting the stage for the current test of the $190 ceiling.
Traders will likely be closely watching how Solana behaves in this range. A successful break above it may further bullish sentiment, transitioning the current move from recovery to breakout.
The cost basis distribution reinforces the significance of this level, with many investors potentially looking to exit now that they are back in profit. On the other hand, a sustained move higher could signal that confidence has returned, allowing Momentum to build.
Conclusion
Solana’s ability to navigate this key resistance zone may define its mid-term trend. A rejection could lead to short-term profit-taking. However, a breakout may clear the path for an accelerated uptrend.
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