Why Solana’s Recent Bullish Dreams Turned into Nightmares!

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Ah, Solana’s price! Just when you thought it was about to take a grand leap above that pesky $88 resistance, it seems to have tripped over its own optimism, confirming what we now affectionately call a bull trap. Yes, dear reader, the market has shifted its mood from a promising romp to a rather gloomy bearish affair.

  • Alas! The breakout above $88 has flopped, ensnaring those eager late buyers in a delightful mess.
  • A most dramatic rejection at the point of control-what a splendid signal for bearish control, giving us all a reason to frown.
  • Keep your eyes peeled on the $78 support, where we might just witness a dramatic reaction or perhaps another swing-failure setup worthy of a standing ovation.

As Solana (SOL) pranced into what one might have presumed was a bullish corrective phase, it turns out that the price action could not manage to maintain a foothold above those mighty resistance levels. What started as a fabulous bullish continuation has revealed itself to be nothing more than a classic case of a bull trap, snaring those latecomers before the price made a theatrical exit stage left.

This charming little failed breakout often marks an important twist in our tale, especially when it occurs at those high-timeframe resistance and value extremes. Oh, what a plot twist!

As the price pirouettes back into its previous trading range, technical signals are suggesting that the bears have taken center stage in this immediate short-term drama.

Market participants are now anxiously awaiting how Solana will perform as it tiptoes toward key support levels, where we may either witness a further decline or a rather comical reactive bounce.

Salient technical points for our dear Solana

  • Indeed, the bull trap is confirmed above $88 resistance, rendering the bullish breakout a mere fairy tale.
  • Rejection at the point of control signals a profound weakness, favoring a delightful descent lower.
  • The $78 high-timeframe support is now in the spotlight, with Fibonacci confluence lurking just below.

Solana’s recent jaunt pushed its price triumphantly above the value area high and into high-timeframe resistance near the illustrious $88 mark. However, the move lacked the necessary flair for sustained acceptance. Instead of reveling in success, the price quickly came to a halt and reversed, signaling the buyers’ inability to maintain their grip at such lofty heights.

This behavior is nothing short of a bull trap, where the price briefly flirts above resistance to entice breakout buyers before performing a dramatic backflip into the prior range. Once that acceptance above resistance becomes a distant memory, the ensuing decline is often swift, as those poor trapped longs are forced to make a hasty exit.

The failure to hold above the value area high was the first sign of impending doom. This level typically delineates the upper boundary of fair value, and rejection here is akin to a tragic romance leading to a downward spiral.

Rejection at the point of control: A bearish saga unfolds

After the grand failure above resistance, Solana twirled back into the trading range and attempted to regain some semblance of stability near the point of control (POC). The POC, darling, represents the price level where the highest trading volume has occurred and often acts as a balance point during those ever-dramatic consolidation phases.

However, our dear Solana was unable to reclaim or hold above this pivotal level. The rejection at the POC confirms that sellers are still dominating the stage, and the market has transitioned from a harmonious balance into a state of renewed imbalance. When a price is rejected at the POC after a failed breakout, it dramatically increases the likelihood of a full-range rotation, leaving us all breathless.

This rejection clearly signifies a shift in short-term market structure, turning the local bias decidedly bearish and paving the way toward those lower support levels.

$78 support: The immediate target in our tragic tale

With the local structure now turned bearish, all attention shifts to the next major downside level. High-timeframe support near $78 shines like a beacon, serving as the primary target. This region aligns perfectly with the value area low and represents the lower boundary of our broader trading range.

Importantly, the 0.618 Fibonacci retracement lies tantalizingly just below this level, adding yet another layer of technical intrigue. Fibonacci retracement zones often act as magnets for price during these corrective phases, particularly after failed breakouts.

A move into this region would complete a full-range rotation and likely coincide with increased volatility as liquidity is put to the test. Whether Solana finds its footing or continues its downward spiral will depend heavily on the reaction at this support zone.

Swing failure pattern: A potential reversal awaits?

While the immediate bias favors a continued descent, the $78 region is not merely a bearish target – it could also serve as a potential inflection zone. If the price dips below this support, tests the notorious 0.618 Fibonacci level, and then promptly reclaims it, we could witness a swing failure pattern (SFP) worthy of applause.

Such theatrics would indicate a liquidity grab rather than a true breakdown and could herald the dawn of a corrective bounce or even a larger reversal, depending on the volume and follow-through. For this reason, the price action around $78 should be observed with keen interest rather than treated as an automatic breakdown.

What to anticipate in the coming price performances

From a technical, price action, and market structure perspective, Solana’s recent rejection confirms a bull trap and firmly shifts short-term momentum into the bear’s embrace. As long as the price remains below the value area high and the point of control, downside continuation toward the $78 support zone appears to be the most probable outcome.

Until we see a resurgence of bullish acceptance above those vital value levels, let us treat any rallies with a healthy dose of skepticism. The market is currently caught in a corrective rotation phase, and how Solana behaves around $78 will undoubtedly dictate the next major act in this riveting market drama.

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2026-02-16 20:38