SOL Price Prediction: Assessing the Investment Case at a Key Technical Crossroad

#SOL

• Technical Inflection Point: SOL is testing crucial support near $120, with bullish MACD momentum suggesting a potential rebound if the level holds.
• Mixed Sentiment, Solid Foundation: While short-term price concerns dominate headlines, they are counterbalanced by strong fundamental reports of network growth and revenue surge.
• Defined Risk/Reward Setup: The current setup offers clear technical levels for investors, making the $120 zone a pivotal area to gauge the next significant price move.

SOL Price Prediction

Technical Analysis: SOL/USDT at Critical Juncture

As of December 28, 2025, SOL is trading at 124.67 USDT, slightly below its 20-day moving average of 127.37. The MACD indicator shows a positive histogram of 0.7556, with the MACD line (5.1788) above the signal line (4.4232), suggesting underlying bullish momentum. However, the price is currently positioned between the middle (127.37) and lower (116.89) Bollinger Bands, indicating it is in a lower volatility zone and testing support. "The key level to watch is the $120 support, coinciding with the lower Bollinger Band," says BTCC financial analyst Ava. "A sustained hold above this level, coupled with the positive MACD divergence, could pave the way for a retest of the 20-day MA and the upper band NEAR $138."

Market Sentiment: A Battle Between Support and Growth Narratives

Current headlines reflect a market at a crossroads. While news of solana "navigating a critical support zone" and the debate around the "crucial $120 support" highlight immediate price concerns, they are balanced by bullish long-term fundamentals like Solana leading a "2025 blockchain revenue surge." "The sentiment is mixed but leans cautiously optimistic," notes BTCC's Ava. "The price action is focused on a key technical defense, which aligns with the 'critical support' narrative. However, the strong fundamental backdrop of network growth and revenue provides a solid floor for investor confidence. A successful hold of support could shift focus back to these growth catalysts." This news-based assessment respects the technical picture, which also identifies $120 as a pivotal level.

Factors Influencing SOL’s Price

Solana Navigates Critical Support Zone Amid Mixed Market Signals

Solana's price action hangs in the balance at $123, a level coinciding with its 200-week exponential moving average. This technical foothold preserves the asset's long-term bullish structure despite recent breaches below shorter-term EMAs.

Analysts note conflicting signals: Rose Premium Signals identifies latent buying pressure with ambitious targets ranging from $325 to $545, while current trading struggles to reclaim the $138-$141 Fibonacci zone. The 20-week and 50-week EMAs at $159 and $166 now serve as resistance markers.

Market participants appear divided between those seeing a temporary consolidation and others anticipating further downside. The 200-week EMA's defense will likely determine whether Solana resumes its upward trajectory or faces extended correction.

Solana Price Holds Crucial $120 Support as Market Debates Next Move

Solana (SOL) shows tentative resilience at $123.04, marking a 1.09% gain amid heightened scrutiny of its $120 support level. The asset's $69.39 billion market capitalization now commands 2.35% of total crypto market share, with $6.78 billion in daily trading volume flowing through exchanges.

Technical analysts warn of potential downside to $75 if $120 support fails, though long-term bullish targets remain anchored at $500. A nascent double-bottom pattern and breach of descending resistance hint at possible near-term recovery toward the $125–$126 range.

Solana and Hyperliquid Lead 2025 Blockchain Revenue Surge

Solana has cemented its dominance as the premier general-purpose blockchain in 2025, generating $1.3 billion in annual revenue. The network's success stems from meme coin activity, AI agent deployment, and DeFi adoption during the latter half of the year. Hyperliquid follows closely with $816 million in native chain revenue, demonstrating the market's shift toward utility-driven platforms.

Solana maintained seven consecutive months as the top application revenue generator, outpacing competitors like Base which now ranks seventh at $76.4 million annually. This performance underscores blockchain's evolution from speculative hype to tangible economic ecosystems.

Is SOL a good investment?

Based on the current technical and fundamental data, SOL presents a high-potential but nuanced investment opportunity at this juncture. The analysis suggests a scenario where risk and reward are clearly defined.