- Solana (SOL) is holding above the critical $100 support level amid mixed technical signals and macroeconomic uncertainty, with a potential drop to $70 if support fails.
- Meanwhile, meme coin Fartcoin (FART) is driving a surge in Solana’s DeFi activity, hinting at a possible bullish shift in market sentiment.
Solana (SOL) has shown resilience this week, bouncing from a low of $96 to briefly touch $119 following former President Trump’s decision to halt tariff hikes. While macroeconomic factors like a better-than-expected U.S. inflation report (2.4% vs. 2.6% expected) typically favor crypto, looming trade uncertainties have kept SOL traders cautious. At press time, Solana has retreated around 4%, hovering just above the crucial $100 support level.
Technical indicators offer mixed signals. The Relative Strength Index (RSI) just flashed a bullish crossover, and the MACD’s negative momentum is easing. However, the daily chart still shows a descending triangle—a bearish pattern—indicating potential downside if support fails. A break below $100 could send SOL tumbling to $78 or even $70.
FART Meme Coin Fuels Solana’s DeFi Comeback
In a twist of irony, one of the most talked-about drivers of Solana’s recent DEX activity isn’t a blue-chip token—but Fartcoin (FART). This Solana-based meme coin has doubled in value over the past 30 days and seen a 56% surge in daily trading volume, reaching a staggering $432 million.
DEX platforms like Orca and Raydium have benefited massively from the FART/SOL trading pair, pushing overall DeFi activity on Solana up by 23.5% compared to March. FART’s explosive run, along with smaller rallies in tokens like SPX6900, suggests that risk appetite might be returning to the meme coin sector—even in a shaky market.
Short-Term Outlook: Holding Fibonacci for Hope
Despite today’s pullback, Solana remains within a healthy Fibonacci retracement zone. The ascending triangle breakout on the hourly chart—triggered by Trump’s tariff pause—has now flipped into a potential support. If this zone holds and buyers step back in, SOL could resume its upward trend.
But caution remains key. A breakdown below $100 could trigger a deeper correction. Until then, traders are watching key levels closely, with bullish hopes hinging on sustained momentum—and perhaps, another meme-fueled surge.
Solana’s price is walking a tightrope at $100. While meme coin mania led by FART is energizing DeFi activity, macro headwinds and technical patterns keep the market on edge. The next few sessions will be pivotal in determining whether SOL sinks or soars.
