Trader Holds SOL Lock During Price Correction - Opportunity or Risk?

Solana (SOL) is trading at $91.27, down -7.21% in the past 24 hours, indicating a strong correction from previous highs. Although the market is under selling pressure, the numbers tell a different story — traders are still holding SOL locks steadily, with the $118 support level expected to remain a key strength point.

Support Level $118 — The Lifeline of SOL Locks

The $118 support level is no coincidence. Since last year, this level has been tested more than 10 times, each time triggering a strong rebound from investors. This shows that holders of SOL locks in this zone have significant rights.

Currently, the $91.27 level remains above this line. If history repeats itself and the $118 support is well protected, SOL has the potential to recover. However, the ADX indicator is currently at 31.26, but the price remains below the 50-day EMA, indicating that the long-term downtrend has not been fully reversed.

Total Locked Value — Positive Signal from Blockchain

A bright spot in the current context is on-chain activity. The total value locked (TVL) on the Solana network has increased by 4.66% to $36.66 billion, confirming that real activity on the blockchain continues to grow despite price volatility.

Additionally, Solana Spot ETF funds on traditional stock markets are still receiving continuous inflows, demonstrating institutional investor confidence. This suggests that large SOL locks are being accumulated at lower price levels.

Bullish Positions Hold Strong — Is Confidence Still High?

Data from the derivatives market shows an interesting picture. Long positions amount to $157.18 million, overwhelmingly surpassing the Short side at $66.71 million. This indicates traders are betting heavily on a recovery.

Key leverage points are concentrated around two zones: support at $121.3 and resistance at $125.7. If SOL can break above resistance at $125.7, the path to $146 could open up. Conversely, a breakdown below $118 would confirm a downtrend and could lead to lower lows.

Critical Decision Point: Will SOL Locks Be Protected?

The current picture shows a divergence between declining trading volume (only $78.47 million in 24h) and strong institutional confidence. This suggests that large investors are waiting, holding their SOL locks until clearer signals emerge.

History shows that the $118 support has been tested and provided full recovery opportunities before. The big question now is whether the 11th test will be different. Holding this level could open growth opportunities for current SOL locks. If not, it would confirm a long-term downtrend.

This information is for reference only and not investment advice. Please conduct thorough research and risk management before making any trading decisions.