SOL breaks the $120 zone on the 1D candle: Will the downtrend continue?

Solana just broke above $120 on the 1-day chart, a notable technical signal that many analysts are closely watching. Currently, SOL is trading around $86.17, reflecting weakness from higher technical levels. Not only SOL, but top coins like XLM (now at $0.16) are showing similar breakouts, indicating this is not an isolated case.

Technical Analysis: Breakout Signs from Multiple Coins

The breakout observed in both SOL and XLM is not coincidental. When leading coins simultaneously fall below key technical levels, it often signals a larger downward trend across the entire market. SOL breaking the $120 level on the 1D candle is a clear indication of this weakness.

The drop from $120 to the current level shows increasing selling pressure. Investors should watch the $120 level closely – if it cannot be reclaimed, downward pressure will continue.

The $120 Level and Future Risks

Analyzing the overall market, SOL breaking below $120 combined with similar patterns in XLM confirms that a bearish trend may persist. These are not minor movements but signals from major coins, increasing the reliability of this outlook.

In the coming weeks, the $120 level will be a key reference point. If SOL cannot regain this zone, the downtrend will be further confirmed, and subsequent target levels will become the focus for investors.