Solana technical setup signals extended losses ahead, August targets at risk

Solana's price structure has deteriorated as bulls repeatedly failed to push the token above the $80 supply zone since mid-July. While on-chain metrics showed steady network usage and growing stablecoin liquidity, price action has remained bearish since April 2025.

On the weekly timeframe, the breach of the $110 swing low in March 2025 signalled a structural break that began a prolonged downtrend. A retracement to the 78.6% Fibonacci level at $252.9 later in the year proved temporary, preceding a sharp drawdown. The Fibonacci extension target at $47.9 now looms as a potential bear market objective.

Short-term momentum indicators have aligned to the downside. The RSI dropped below the neutral 50 level, and the MACD crossed below zero, both suggesting further weakness ahead. Price action reinforced this view: after rejection from the 61.8% retracement at $83.8, Solana declined steadily through July. On 31 July, the token fell below the $73.4 support zone, establishing bearish short-term expectations.

Analysts are targeting $64.1 and $60.1 as August price objectives. Crypto analyst Ali Martinez reached similar conclusions after the token lost channel support. A severe Bitcoin sell-off would likely push Solana toward or below the $50 level.