The ongoing decline in the cryptocurrency market has led to further losses. Solana’s price dropped to a one-month low but showed signs of recovery today. More importantly, SOL attracted interest as one of the first cryptocurrencies to recover from the downturn. This article delves into the details of this recovery process.
Solana Price Movements
Coinshare data confirms that whale activity has increased in recent days. In the past week, inflows into Solana 
$183 reached $1.7 million, indicating that investors have adopted a ‘buy the dip’ approach. This week, transaction volumes for the token remained at high levels. Interestingly, whale participation significantly increased this week, with buyers stepping in before a potential bull trend begins around mid-2025.
Solana’s price peaked at $263.83 in November, keeping investor expectations for further increases intact. Thus, during the cryptocurrency market crash, which saw a 29% decline, whales took the opportunity to buy. During this period, Solana’s price dropped to a one-month low of $177.21; however, analysts view this not as a downturn but as a retest.
Analysis of Solana’s Market Position
Solana’s charts indicate signs of recovery starting from the key support level near the 200-day moving average, presenting an opportunity for the SOL price to surpass the VWAP based on September lows. Crypto analysts state that this represents a chance for Solana to recover by following bullish momentum.
Moreover, analysts are observing an upward signal from the 4-hour oscillator, suggesting that the analysis is being validated. Consequently, the next resistance level lies at the 5-day moving average, and breaking through this level would confirm the sustained bullish momentum.
Solana, along with other altcoins, may continue to rise as whales make purchases ahead of an altcoin season, maintaining bullish momentum. Today, Solana initiated an upward movement with a 9% increase; however, it still has a 29% distance to reach its all-time high (ATH). Many analysts characterize this period as a retesting phase for bullish conditions, suggesting the potential for altcoin dominance starting in April-May. During this time, Bitcoin 
$95,644‘s consolidation could trigger a rally of 5 to 10 times for other altcoins.
Recent price movements of Solana and whale investments continue to create a positive impact in the markets. This process, closely monitored by investors, plays a significant role in shaping Solana’s future performance.
Disclaimer: The information contained in this article does not constitute investment advice. Investors should be aware that cryptocurrencies carry high volatility and therefore risk, and should conduct their own research.
