Solana (SOL) is drawing significant attention this week as price action hints at a possible breakout. After reclaiming the $120 level, SOL appears poised to challenge a key resistance zone between $140 and $150. This area has historically acted as a strong supply region, and whether Solana can overcome it will likely determine the altcoin’s short- to mid-term direction.

Despite a generally bearish daily market structure over the past three months, recent technical indicators suggest that a reversal may be in the works. The Relative Strength Index (RSI) has climbed above the neutral 50 level and stayed there for three consecutive days—a signal of growing bullish momentum not seen since January. Alongside the RSI, the On-Balance Volume (OBV) has also surged, nearing highs previously recorded in March when SOL traded near $180. These signs indicate increasing buying pressure, providing a foundation for potential upward movement in price.

However, Solana still has work to do before confirming a full trend reversal. The $143 mark represents the lower high from the most recent downtrend. A successful breakout above this level would officially shift the daily market structure in favor of the bulls, opening the door to a more extended rally. Until that happens, investors and traders remain cautiously optimistic, eyeing how price behaves around the current resistance cluster.

On-chain data further supports the possibility of an upward breakout. A recent liquidation heatmap from Coinglass highlights the $150 and $158 levels as major liquidity targets, with over $2 billion in cumulative liquidations stored in those zones. These “magnetic” levels tend to attract price action, particularly during high-volume market periods. The $136–$142 range also features dense liquidity, meaning that any move above this region could be accelerated as traders scramble to close short positions.

Further down the chart, the next significant liquidation zone is situated near $95. However, due to its distance from current price levels, it is considered an unlikely short-term target barring a major market downturn. Still, its presence underscores the need for caution—crypto remains volatile, and reversals can occur swiftly.

One of the most compelling narratives currently favoring Solana is its comparative strength against Ethereum (ETH). In recent weeks, the SOL/ETH pair has pushed to new highs, indicating increased market preference for Solana. On-chain activity supports this sentiment, with Solana outpacing Ethereum in areas like transaction throughput and user activity. Capital inflows into the Solana network have also surpassed those going into Ethereum, another bullish signal that may be influencing investor sentiment.

While Solana’s individual strength is impressive, the broader market context cannot be ignored. Bitcoin (BTC) continues to play a dominant role in shaping overall crypto momentum. Any significant movement from Bitcoin—upward or downward—is likely to impact Solana. If Bitcoin manages a recovery from its current range, it could bolster SOL’s chances of not only breaking past $143 but also sustaining levels above $150. On the other hand, a continued slump in BTC could halt Solana’s rally in its tracks.

For traders watching closely, the next few days are critical. A sustained push above $143, followed by confirmation of $140 as a support level, could trigger a move toward $150—and potentially even $160—within a short time frame. This breakout would not only change the technical narrative but could also shift broader investor confidence back in favor of Solana as a leading altcoin in 2025.

Of course, failure to break above the $143–$150 resistance zone could mean that SOL consolidates or even retraces back to lower levels. While the $95 liquidation level may seem distant, crypto markets are unpredictable, and no scenario can be ruled out entirely. That said, current momentum and buying interest suggest that the bulls may have the upper hand, at least in the near term.

In summary, Solana is at a pivotal moment. Technical indicators, on-chain activity, and comparative strength against Ethereum all point toward a possible breakout. However, everything hinges on whether the asset can push decisively past the $143 resistance and maintain support at $140. If successful, Solana may be headed for its next major milestone at $150 or higher—potentially setting the stage for a longer-term uptrend in the months ahead.