Solana's Technical Breakdown: Heikin Ashi Charts Reveal Complex Support Battle Near $97

The Solana blockchain token has faced significant selling pressure over an extended period, with SOL declining from its $247 high to currently trade around $97.23 as of late March 2026. This roughly 61% drawdown represents a critical juncture for the asset, with technical analysts divided on whether price has carved out a stabilization pattern or faces further deterioration toward lower support zones.

Mapping the Collapse: From $247 Peak to Current $97 Price Floor

The journey downward has been methodical rather than instantaneous. After trading comfortably above $180 to $200 levels throughout October 2025, Solana’s price action deteriorated through November and December, establishing a pattern of successively lower highs. Price briefly consolidated in a narrow range before January’s capitulation phase, where SOL dropped from the low $120s into the $100 zone across a sequence of sharp red candles.

This latest decline has pushed the asset to $97.23, reflecting continued weakness even as 24-hour trading metrics show an +8.04% bounce with $90.25M in daily volume. The expanded volume during the selloff phase signals heavy participation from both retail and institutional sellers, indicating that this price compression was accompanied by genuine capitulation-style trading activity rather than thin-volume liquidations.

Heikin Ashi Signals Persistent Downside Pressure Amid Volume Confirmation

Market analysts employing Heikin Ashi chart formations—a candlestick technique designed to filter noise and highlight trend persistence—have observed that momentum indicators remain notably weak across multiple timeframes. The Heikin Ashi methodology, which combines open, close, high, and low prices using averages, proves particularly useful for identifying sustained directional bias without whipsaw noise.

On Solana’s weekly Heikin Ashi rendering, the technical picture reflects repeated rejection at descending resistance levels, with each bounce attempt failing to recapture prior support bands. The volume profiles visible alongside price action confirm that selling has intensified into the current zone, with momentum oscillators at the lower panel showing continued bearish divergence rather than any early reversal signals.

Double-Bottom Formation or Deeper Retracement? What Chart Patterns Tell Us

Two critical questions dominate technical debate among market watchers. First, whether the two nearby lows forming in the $97-$101 range constitute a legitimate double-bottom reversal structure—a pattern that could signal exhaustion and potential mean reversion upward.

Alternatively, some analysts argue this price action fits within a broader cup-shaped formation spanning multiple years, suggesting the current dip merely represents a deeper retracement phase rather than a terminal bottom. The larger structure shows that after Solana failed to hold above $180-$200, price has systematically compressed lower, breaking through trend support and settling toward the high $90s—precisely where prior demand zones previously absorbed selling pressure.

The Heikin Ashi weekly chart supports this complexity: while volume has surged during the decline (confirming conviction behind selling), the formation of lower lows and lower highs through each correction cycle suggests downside momentum retains strength. If current price support near $97 proves insufficient, the next major horizontal support target extends toward the $79 area, representing an additional 19% downside risk from current levels.

Key Support Levels and the Path to Potential Recovery

For bulls to construct a meaningful recovery narrative, price must first stabilize above the $97-$100 support band and generate consecutive higher lows on the Heikin Ashi structure. Any failure to hold this zone would expose the $79 demand area, where multiple years of price history suggests institutional demand might finally absorb relentless selling.

The weak momentum indicators visible on technical panels argue that while the +8.04% daily bounce is noteworthy, it may represent temporary mean reversion within a broader downtrend rather than the start of a structural recovery. Traders and analysts will likely watch whether volume accompanies any move higher—a signal that institutions are willing to accumulate at these depressed valuations—or if rallies continue to roll over into lower prices, perpetuating the capitulation cycle.

The Heikin Ashi framework continues to highlight that until Solana prints a series of higher highs alongside volume confirmation, the technical structure remains tilted toward further downside exploration.