Solana (SOL) may be gearing up for an explosive move to $2,700 if it successfully breaks above the neckline of a massive cup-and-handle pattern. According to crypto analyst Martinez, who shared this outlook with his 140,000 followers on X, Solana has been building this pattern since mid-2021, signalling that a major breakout could soon be on the table.
Major Cup and Handle Formation Takes Shape
The cup and handle pattern is widely recognised as one of the strongest bullish continuation signals. This classic setup starts with a rounded bottom — the “cup” — followed by a short-term consolidation period, the “handle.” When the price closes above the neckline, which serves as horizontal resistance, it often triggers a powerful upward trend.
Martinez pointed out that Solana’s chart clearly fits this pattern. The asset dropped from its peak near $250 in November 2021 to a low of $9.88 by December 2022. Since then, Solana has steadily climbed back, completing the cup formation when it returned to a similar peak in November 2024.
The recent sideways price action has now formed the handle. The neckline currently sits just above $170, and Solana is inching closer to that level.
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A Break Above $170 Could Unlock Massive Gains
Martinez emphasised that a decisive weekly close above the $170 neckline could spark a significant bullish breakout. Using Fibonacci extension levels, the analyst set an initial price target of $295, representing a 76% increase from today’s levels.
More impressively, long-term targets could stretch as high as $787, $1,314, and even $2,744 if Solana follows historical trends from similar chart patterns.
However, the analyst also warned that failure to clear the $170 resistance might cause Solana to retrace to key support areas near $136 or even $100, both of which have historically served as accumulation zones for buyers.
Strong Fundamentals Back Solana’s Bullish Case
Several factors now support Solana’s bullish momentum. Last week, Solana posted a robust price rally, strengthening confidence that the altcoin could maintain its upward trajectory.
Open interest in Solana’s futures market has climbed near its all-time high, which shows that traders are increasingly betting on further gains. Additionally, the weighted funding rate has stayed positive for five consecutive days, indicating that long positions continue to dominate the market.
Liquidity on Solana’s blockchain has also increased. DeFiLlama reports that the total stablecoin supply on Solana has risen from $10.5 billion at the start of July to $11.4 billion now, representing an 8.5% increase. This uptick suggests more liquidity for trading activity and ecosystem growth.
Memecoins and Strong On-Chain Activity Reinforce the Bullish Sentiment
Solana’s recent on-chain activity highlights its operational strength. For example, Pump.fun’s token sale generated $448 million on-chain within just 12 minutes last week, proving Solana’s high-throughput capacity. This strong performance has further boosted market sentiment.
Meanwhile, Solana-based memecoins like BONK, TRUMP, PENGU, and FARTCOIN have also enjoyed notable gains as Bitcoin continues to push into price discovery mode. As capital rotates from Bitcoin into high-beta altcoins like Solana, the broader ecosystem stands to benefit from increased demand and liquidity.
Final Thoughts: All Eyes on the $170 Neckline
Solana’s current price action has traders closely watching the $170 level. A breakout above this crucial neckline could pave the way for a significant multi-stage rally. While the path to $2,700 may sound ambitious, Martinez’s analysis shows that the pieces are falling into place for Solana’s next big move, provided the bulls can push the token through its final major resistance.
