Solana Holds Above $96 as Bulls Target $105
Solana (SOL) traded around $97.50 on Aug. 26, remaining significantly higher after a strong weekly advance. The token climbed from an Aug. 20 opening price of $85.37 to an intraday high above $102.59 on Aug. 25, before profit-taking pushed it back below the $105 target zone.
Despite the pullback, SOL remains above several previously important resistance levels, keeping the short-term structure tilted toward buyers.
The rally has been supported by improving risk appetite, short liquidations, institutional ETF demand and continued development across the Solana ecosystem.
Solana price and market data
$105 Becomes the Key Resistance
SOL recently broke above the $87.50 and $93.75 levels and moved toward the $105 area.
However, sellers rejected the token around $102–$103, preventing a sustained move higher.
For now, $96–$97 remains an important area for buyers. Solana's ability to remain above this region could determine whether the current breakout develops into another leg higher.
The daily RSI has climbed above 79, placing SOL firmly in overbought territory. While an elevated RSI does not automatically mean a reversal is imminent, it suggests the market could consolidate before attempting another sustained breakout toward $105.
Macro Conditions Support Crypto Risk Appetite
Solana's rally has occurred alongside a broader recovery across digital assets.
Lower Treasury yields and changes in liquidity conditions have helped improve risk appetite, while the closing of large short positions has added forced buying pressure.
More than $4 billion in crypto short positions were reportedly liquidated over several days, helping amplify gains across volatile assets such as SOL.
The U.S. regulatory environment has also become a major market catalyst. Investors are watching developments around the U.S. Securities and Exchange Commission's crypto framework and the Digital Asset Market Clarity Act.
SEC Digital Assets and Crypto Regulatory Developments
Solana Network Developments Add to the Bullish Case
The price rally is also occurring alongside continued development on Solana.
The network community recently opened voting on a Resource Fee Proposal that would separate inclusion fees from compute-resource fees and burn the latter.
If adopted and widely used, the proposal could create a stronger connection between network activity and SOL supply reduction.
Solana Developer Platform and Network Updates
Institutional demand has provided another positive signal. Spot Solana ETFs recorded approximately $65.74 million in weekly net inflows, representing their strongest weekly inflows of 2026 at the time of the report.
4-Hour Chart Shows $96.67 as Key Support
On the four-hour chart, SOL was trading above the $96.67 middle Bollinger Band.
Holding above this level keeps the immediate structure bullish. The upper Bollinger Band around $101.04 represents the first technical barrier, followed by the recent high around $102.59–$103.
A sustained breakout above $103 could strengthen the bullish structure and put $105 within reach.
On the downside, $92.30 is an important technical level. Losing that support would weaken the current setup and expose SOL to a possible move toward $87.50.
Liquidation Liquidity Could Fuel Another Move
Leverage positioning is also concentrated around the current price.
Liquidation data shows significant leveraged liquidity around the $103–$105 region. A move through this area could force short positions to close and potentially accelerate SOL's advance.
If buyers push SOL decisively above $105, the resulting short squeeze could create additional momentum and open the way toward higher resistance levels.
However, another rejection near $103–$105 could bring the price back toward $96, $95 or $94.
Solana liquidation and derivatives data
Analysts Remain Divided on the Next Move
Some traders expect SOL to continue higher if Bitcoin remains strong and broader risk conditions improve.
Altcoin Sherpa has suggested that Solana could eventually reach $120+, provided Bitcoin remains stable and macroeconomic conditions remain supportive.
Others remain cautious because SOL has repeatedly faced selling pressure around the $98–$103 region.
This makes $103–$105 the key battleground for the next major move.
Solana Price Outlook
The current setup remains constructive as long as SOL holds above $96.67 and, more importantly, the $92.30 support area.
A decisive move above $103 would strengthen the bullish structure and put $105 into focus. A successful breakout above $105 could eventually bring the $120 target into consideration.
Conversely, rejection near $103–$105 followed by a break below $92.30 would weaken momentum and increase the possibility of a deeper correction toward $87.50 or even the $80–$88 region.
Conclusion
Solana's latest rally has been supported by stronger institutional flows, short liquidations, network development and improving conditions across the broader crypto market.
With SOL holding near $97.50, the immediate battle is between buyers defending the $96–$97 area and sellers protecting $103–$105.
For now, a sustained breakout above $105 would provide the clearest bullish signal, while a loss of $92.30 would significantly weaken the setup.
