Long term SOL holders stake on the breakout regardless of the price moving sideways.

Since the beginning of June, Solana (SOL) has been trading sideways, consolidating within a narrow range. This altcoin continuously faces strong resistance at the $158.8 mark and is supported at the 141.97 zone, with many unsuccessful attempts to break out in both directions.

However, this price stagnation period has become a buying opportunity for long-term holders (LTH), who are fully exploiting the current situation.

Long-term SOL holders ignore weak price action

Data from Glassnode shows that the Liveliness index of SOL has been on a downward trend since reaching a 90-day peak on June 4th. This index tracks the level of movement of tokens that were previously "dormant" and has dropped to its lowest level in 30 days – down to 0.764 yesterday, indicating a significant decrease in selling activity from LTH.

Liveliness of SOL | Source: GlassnodeLiveliness measures the movement of long-held tokens by calculating the ratio of the number of days coins are destroyed to the total number of days coins are accumulated. When this index increases, it indicates that many tokens that were previously inactive are being activated or sold – often a sign of profit-taking by LTH.

Conversely, when Liveliness decreases, long-term investors are withdrawing assets from the exchange and choosing to continue hodl.

For SOL, this trend shows that long-term holders remain confident in the short-term recovery potential and are not overly concerned about the current poor performance. The continued accumulation by this group of investors could lay the groundwork for a bullish breakout when market sentiment shifts more positively.

Solana Holders Still Hold Hope

In addition, data from the Net Unrealized Profit/Loss index (NUPL) of SOL also reinforces the possibility of a bullish breakout. According to Glassnode, this index has remained in the "hope" zone for the past 30 days. At the time of writing, NUPL is at 0.108.

NUPL of SOL | Source: GlassnodeThe NUPL index tracks the difference between total unrealized profits and losses of investors, based on the price at which the tokens were last moved. The index indicates whether the average holder is in a profit or loss state, as well as their likelihood of selling.

The "Hope" zone means that although many investors have returned to a profitable state, they have not yet started to take profits en masse. Instead, they continue to hold with the expectation that the upward trend will continue.

This trend reflects a cautiously optimistic sentiment within the SOL holder community and typically appears in the early stages of a potential price uptrend.

Bullish SOL targets the $170 mark as LTH tightens positions

At the time of writing, SOL is trading at $151. If LTH continues to accumulate strongly and historical patterns repeat, this could push the price of SOL above the resistance zone of $158.8.

Successfully breaking this long-term resistance zone could lay the foundation for a bullish rally towards the $170 mark.

SOL Price Analysis | Source: TradingViewHowever, if selling pressure increases, SOL may break the support zone at 141.97 dollars. In this case, the price of SOL could decrease to 123.49 dollars.

Minh Anh