Veteran trader Peter Brandt says Solana's weekly chart is completing a five-year cup and handle pattern, with the token coiling for a potential run toward $240. A clean break above that level could open the door to a far larger long-term move, while a drop below $80-$85 would undo the setup entirely.
Solana is trading at $116.29, and technical analyst Peter Brandt says the coin's weekly chart is entering the final stage of a rare five-year compression pattern. He points to a potential 106% surge toward the upper boundary of the structure, which sits near the historical high of $240.
A five-year cup takes shape
The left side of the pattern begins at Solana's 2021 all-time high. From there, the token fell through the depth of the late-2022 crypto winter, bottoming near $9. Its recovery toward the 2024 highs completed the rounded shape of the cup, and two years of sideways trading since then have formed the handle.
Brandt calls the current consolidation a very significant long-term view of SOL. The chart's technical indicators show an ATR of 17.51 and an ADX of 20.10, below the 25 threshold that would confirm a directional trend. Together, the readings suggest the market is coiling like a spring during a late stage of accumulation.
Two levels that decide the outcome
On a logarithmic scale, the move from the current price to the $240 resistance represents only the first phase of the pattern. The distance from the $9 bottom to that $240 rim spans roughly a 26.6-fold increase, and a classic breakout that projects the same ratio upward would put long-term targets in the thousands of dollars. In traditional markets, particularly gold, comparable multi-year consolidations have historically preceded powerful bullish cycles, though such large-scale structures remain extremely rare on cryptocurrency charts.
Two zones will determine which way the setup breaks. A sustained move and consolidation in the $240-$260 range would confirm the breakout and open the door to the pattern's full upside. A decline below the $80-$85 support zone, however, would break the handle's geometry and return the asset to a prolonged downtrend.
For now, large market participants are holding positions within the established range, awaiting volume confirmation at the key resistance levels.
Source: U.Today
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