Recently, the price movement of SOL has shown some interesting characteristics. From the four-hour timeframe chart, SOL encountered significant resistance around the $250 level, and the latest Candlestick formed a Bearish line, indicating strong selling pressure. Trading Volume has shrunk accordingly, displaying a typical scenario of both price and volume declining. Although the MACD indicator remains in the negative territory, the histogram is shortening, suggesting that short positions are weakening. Meanwhile, the KDJ indicator is only at 4, indicating a severely Oversold condition.

Technical analysis shows that the key support level for SOL is around $231, while the main resistance level is at $250. For investors looking to enter a position, $226 and around $233 may present good buying opportunities, with a stop-loss suggested at $231.84. If considering short positions, entry can be made near $250 and $250.82, with a stop-loss set at $249.6.

From a fundamental perspective, SOL's performance is actually quite good. Well-known institutions like Pantera Capital are increasing their holdings in SOL. In August, the on-chain application revenue of SOL reached $193 million, showing strong growth momentum. Some analysts even predict that SOL is expected to reach a high of $500. However, in the short term, there is indeed significant pressure at the $250 price level, and long-term holders may choose to take profits at this position.

If SOL can break through $250 with an increase in Trading Volume and hold steady, then the next target price could be $260 or even higher. However, if the breakout fails, the price may pull back to around $232 or $214. It is worth noting that Trading Volume is a key indicator to determine whether a breakout is valid; breakouts without Trading Volume support often struggle to sustain.

The future price movement of SOL will depend on the ongoing willingness of institutional investors to increase their positions and the struggle against technical resistance. Investors need to closely monitor changes in Trading Volume and breakthroughs at key price levels to seize potential investment opportunities.