Solana (SOL) has shown signs of stabilization near the $100 support level, rebounding to around $104. A key technical indicator, the TD Sequential, has flashed a fresh buy signal, suggesting downside momentum has likely run its course. The recovery is supported by aggressive spot buying and substantial exchange outflows, reducing immediate sell pressure. However, the price remains capped by descending regression resistance, indicating the move currently favors a controlled recovery rather than a trend reversal.
The TD Sequential indicator accurately marked Solana’s local top in early January, preceding a sharp decline. That downside sequence has now completed, and the indicator has flashed a fresh buy signal. “This shift matters because it appears after exhaustion rather than during distribution,” the analysis noted.
The signal suggests downside momentum has likely run its course, but it does not imply a trend reversal. Instead, it points to a short-term recovery window where sellers lose control. Solana price responding positively reinforces this interpretation, but the signal works best when aligned with structure, which remains mixed.
Solana’s price has rebounded cleanly from the $100 support, a level that has repeatedly attracted demand. From this base, the price has recovered toward $104, confirming buyer presence. However, the broader structure still reflects a descending regression trend that continues to cap upside attempts.
The Moving Average Convergence Divergence (MACD) remains below the zero line, confirming the broader bearish structure. However, its histogram is flattening rather than expanding lower, signaling that selling pressure is easing. This stabilization aligns with price holding support instead of accelerating downward.
Aggressive spot buying supports the bounce, as Spot Taker CVD remained buyer-dominant at press time. This reflects urgency rather than hesitation from traders executing market buys. The metric supports a controlled recovery, not an impulsive breakout.
Spot Netflows remain negative, with approximately $52.4 million in SOL leaving exchanges during the latest session as price rebounded. This scale of withdrawal signals reduced supply available for immediate selling and suggests holders prefer custody over distribution into strength.
In summary, Solana’s recovery reflects genuine stabilization supported by the TD buy signal, easing momentum, strong spot demand, and continued exchange outflows. However, price remains capped below descending regression resistance. Sustained upside would require reclaiming key regression levels, while holding $100 keeps the recovery intact.
