Solana (SOL) extended its decline below $130 after failing to hold above $132 amid broader market weakness, while technical indicators suggest the token could test support near $115 if bulls fail to defend the $126 resistance level.
What Happened: SOL Tests Key Support
The token dropped below the $130 and $126 support levels after losing momentum, reaching a low of $117 before consolidating. A bearish trend line has formed with resistance at $126 on the hourly chart of the SOL/USD pair.
SOL now trades below its 100-hourly simple moving average. The hourly MACD is losing pace in the bearish zone, and the RSI remains below 50.
The decline coincides with weakness across major cryptocurrencies including Bitcoin (BTC) and Ethereum (ETH). If bulls fail to reclaim $126, the price could slide toward $115 or even $102 in the near term.
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Whale Activity Signals Confidence
A dormant SOL wallet withdrew 80,000 SOL worth $10.87 million from Binance on Jan. 10 after remaining inactive for one year. Exchange-to-wallet transfers typically signal long-term holding intentions rather than selling plans.
Large holders usually keep assets on exchanges when planning near-term sales for faster execution.
Removing tokens to private wallets reduces selling pressure on centralized order books.
Solana faces its most significant infrastructure upgrade since launch with the Alpenglow consensus overhaul expected in H1 2026. Key resistance levels remain at $126 and $132, while major support sits at $117 and $115.
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