Solana Price Reclaims $200 Mark After Sharp Correction
After a sharp correction, Solana price has bounced back above a key support level, driven by whale accumulation and growing institutional demand. The token has regained the $200 mark, rising nearly 3% on the day, and is currently trading at around $200.55 as of October 14. This move comes after the sharp market sell-off last week that saw the token fall as low as $178.
Despite the recovery, Solana (SOL) remains down about 14% over the past seven days. Before the plunge, SOL had been consolidating near $230 but struggled under ongoing selling pressure associated with general market weakness and profit-taking. The recovery appears to be fueled by renewed whale accumulation and strong institutional inflows, with on-chain platforms such as Hyperliquid and Arkham showing that large wallet addresses are opening new long positions and buying heavily in the $180-$200 range.
Institutional Interest and Whale Accumulation Drive Recovery
Spot exchange data from CoinGlass suggests nearly $3.5 billion in trading volume in the last 24 hours, while decentralized exchange volumes hit record highs. Institutional interest was boosted by CME Group’s recent launch of CFTC-regulated options trading for Solana, in addition to Bitcoin, Ethereum, and XRP. The move has boosted liquidity and investor confidence, with CME reporting that more than 540,000 SOL contracts have been traded since March, representing a notional value of over $22.3 billion.
Although these factors have helped the asset recover from last week’s lows, the path to a return to its previous highs remains uncertain. Solana’s recent price movement suggests a critical moment that could determine its next big move. The asset has been in a steady uptrend since its June low of $130, continually forming higher highs and higher lows. However, this structure weakened towards the end of September when SOL made a new low around $190 and then shot back up, but failed to surpass the previous high at $250.
Technical Indicators and Chart Analysis
The recent decline broke the $190 level, raising the possibility of a trend reversal. Momentum indicators such as the Trend Strength Index (TSI) also reflect fading bullish momentum as readings remain below neutral. Should Solana fail to reach higher levels and continue to set lower lows, confirmation of a bearish reversal could follow, with potential downside targets between $155 and $130, zones that previously acted as strong support.
Solana price chart | Source: crypto.news
Outlook and Potential Price Targets
On the other hand, if institutional demand and on-chain activity remain strong, Solana price could regain bullish momentum. A decisive move above $235 would invalidate the reversal setup and signal renewed strength, potentially paving the way for a retest of previous highs and even a run to its all-time high from earlier in the year. The current price action suggests a key test near $235, and the outcome will be crucial in determining the next big move for Solana.
For more information and updates on Solana price, visit https://crypto.news/solana-price-reclaims-200-on-whale-led-rebound-will-recovery-hold/
