As the holiday season concludes, the market is set for a resurgence in price activity, offering traders fresh opportunities as 2025 begins. The past few days have seen minimal movement and reduced volatility, creating a challenging environment for consistent trading success.

However, with the new year underway, market dynamics are expected to shift, providing an ideal moment to capitalize on emerging opportunities. Are you prepared to make the most of this revitalized trading landscape?

Daily time frame analysis

SOLUSD - 1 Day Time Frame

The technical setup for Solana presents a favorable scenario for long-term buying opportunities. This optimism is driven by the cryptocurrency’s external and internal structures, both of which display strong bullish tendencies.

Additionally, the recent correction—a natural and necessary phase following bullish movements—has retraced below the 0.5 Fibonacci level. This retracement offers traders the chance to re-enter the market under improved conditions.

If you’ve followed any of our BITmarkets analyses, you’ll recognize the emphasis we place on distinguishing between market context and trade confirmation, particularly in entry setups. This disciplined approach enhances the likelihood of success over the long term, paving the way for consistent and reliable trading results.

Solana price target

For traders seeking the most advantageous market entry, patience is essential. Waiting for the price to close above the critical resistance level currently being tested on the daily timeframe is crucial. This confirmation indicates that the correction phase has likely ended and that the price is ready to resume its upward trajectory in alignment with its external bullish structures.

Alongside identifying an optimal entry point, traders must implement careful risk and reward management strategies. A Stop Loss order should be strategically placed below the internal low to mitigate potential losses.

Meanwhile, the position can be held until the price reaches one of the designated Buy-Side Liquidity Zones, depending on your preferred Risk-Reward Ratio (RRR). This structured and disciplined approach ensures that your trading strategy aligns with your financial goals while maintaining effective risk management.