Solana (SOL) Price Bounces Off Key Support—Relief Rally or A Dead Cat Bounce in Forming?

Despite being one of the popular cryptos, the Solana price is currently one of the worst-performing assets among the top 10 cryptos. The price has dropped by over 3.5% in the past 24 hours, bringing the weekly loss close to 8.35%. The volume has surged by over 300% since the start of the year, while the SOL price has maintained a steep bearish trend, reflecting the disbelief among the market participants. Among the bearish narratives, the price has triggered a healthy rebound from an important support zone, rising few bullish hopes for the crypto. 

Now the question arises whether the current rise is a relief rally or just a dead-cat bounce.

Solana price remains stuck in a clear downtrend, with sellers defending every bounce into overhead supply. After a sharp rejection near the descending trendline, SOL slipped back toward its support zone, showing weak follow-through from bulls. Price is attempting a rebound, but the structure still looks heavy and reactive rather than strong and impulsive. With sentiment fragile, the next move depends on whether buyers can step in with real volume and hold key levels into the close.

The chart shows SOL failing to reclaim the trendline and getting rejected from a supply band, which usually signals strong selling interest above. Since that rejection, there has been little visible demand—bounces are shallow and quickly sold into. More importantly, the Chaikin Money Flow (CMF) has dropped sharply into negative territory, suggesting liquidity is flowing out rather than in. Until CMF stabilises and price reclaims the nearby resistance zone, this bounce risks being a temporary relief move.

The real test for Solana price at month-end is the $100 psychological support level. If SOL holds above $100 and pushes back into $128–$135, it could attempt a stronger recovery toward $145–$155 before the month closes. But if buyers stay absent and the SOL price loses $100 on a daily close, the downside opens quickly, with month-end targets at $92–$88, and a deeper flush risk toward $80–$77.