Solana (SOL), the native token powering the Solana blockchain, is showing renewed strength after days of bearish pressure. On April 4, 2025, the broader crypto market rallied following U.S. Treasury Secretary Scott Bessent’s statement that “Bitcoin is becoming a store of value.” This shift in macro sentiment has helped lift major altcoins like SOL, now trading around $123—up over 8% in the past 24 hours.
Despite a 9% dip in trading volume, market indicators suggest Solana could be headed much higher if current support levels hold.
Technical Outlook: Bullish Setup Emerges
According to expert technical analysis, SOL is forming a bullish double-bottom pattern on the daily chart. The two significant lows at the $114 support level signal a possible trend reversal if price action confirms the pattern.
Alongside this setup, analysts have spotted a bullish divergence on SOL’s daily RSI, strengthening the case for a potential breakout. If SOL sustains support above $114, analysts predict a price surge of 18%, targeting the $144.5 level—possibly even higher if the bullish momentum continues.
Liquidation Risk Mounts as Bulls Take Control
New data from on-chain analytics firm Coinglass reveals that $11.5 million in short positions are at risk of liquidation. With leveraged traders placing bets between $121.3 and $124.1, the price volatility could trigger substantial liquidations, adding fuel to the rally.
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$121.3 level: $31.45 million in long positions
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$124.1 level: $11.5 million in short positions
This indicates that the market is currently over-leveraged, and if bullish pressure continues, the liquidation of shorts may create a short squeeze, accelerating the price action toward the $145 mark.
Bessent’s Bitcoin Comment Boosts Market Sentiment
Treasury Secretary Scott Bessent’s recent endorsement of Bitcoin as a “store of value” had a ripple effect across crypto markets, reviving investor confidence and sparking an impressive upside rally. SOL’s price action appears to be riding that wave, particularly as institutional traders and retail investors begin repositioning for an altcoin rebound.
Conclusion
With a clear bullish chart setup, rising investor sentiment, and critical liquidation levels being tested, Solana (SOL) is poised for a breakout. If the asset maintains its hold above $114, an 18% climb to $144.5 could be imminent, placing SOL among the top altcoins to watch in the coming days.
Disclaimer: This article is for informational purposes only and does not constitute financial advice. Cryptocurrency investments are volatile and risky. Always conduct your research before making any investment decisions.
