Solana Could See 12% Move If Key Support Holds

Solana is trading at $80; according to Alicharts, more buying pressure here could send the SOL price toward $82 and potentially $88.

A rise to $88 marks a 12% increase from current prices. Despite this optimistic view, the Solana price is trading in red alongside the rest of the crypto market following lighter than expected CPI data.

January’s delayed consumer inflation report came in lighter than expected. The January consumer price index reading indicated that headline consumer prices increased 2.4% annually, which was lower than expected. Economists polled by the Dow Jones predicted a 2.5% increase on a yearly basis, and 0.3% on a monthly basis.

Core inflation, which excludes volatile food and energy prices, came in line with expectations.

At the time of writing, SOL was down 1.44% in the last 24 hours to $80 and down 3.88% weekly.

What’s next?

Solana saw a five-day drop from Feb. 8 to 12 before slightly rebounding early Friday. This rebound is yet to erase 24-hour and weekly losses, but a slight green daily candlestick suggests this might be well underway.

This follows U.S. spot Solana ETFs recordeding their strongest performance in nearly a month on Feb. 10, according to SoSoValue data. Solana saw 8.43 million in net inflows on Tuesday, the highest daily volume since Jan. 15, at $8.94 million.

As stated earlier, an increase from current levels might target $82 and $88.The first sign of strength will be a break and close above $100 if the $95 level is well surpassed. The Solana price may then climb to $121.

There is minor support at $77, but if the level is taken out, Solana may drop to $67. Buyers are expected to protect the $67 level, as a break below it may extend Solana’s drop to $50.

Derivatives show tentative optimism, with leverage cleaned up, positive funding rates and rising institutional basis, even though traders are still paying a premium for short-term downside protection.

In recent news, Solana cofounder Anatoly Yakovenko has been appointed to the U.S. CFTC Innovation Advisory Committee, alongside other industry founders, including Ripple CEO Brad Garlinghouse and Uniswap founder Hayden Adams.