Solana Could Jump 106% if Peter Brandt's Cup-and-Handle Setup Breaks $240

Solana (SOL) rallied 8% to about $119 on September 21, marking its highest level since January as the broader crypto market rebounded. Attention is now shifting to the weekly chart after veteran trader Peter Brandt highlighted what he sees as a five-year cup-and-handle formation, bringing the $240 resistance zone into focus. SOL climbed from roughly $110.69 to $119, pushing through the $112.50 resistance area. The breakout appeared to trigger stop-losses and fresh spot demand, while short sellers rushed to cover, adding fuel to the move. Over the past 24 hours, more than $33.70 million in SOL positions were liquidated, with shorts accounting for $30.42 million, or nearly 90% of the total. After briefly touching $119, SOL eased back toward the $116 region. Derivatives activity also strengthened. SOL futures trading volume surged 89% to $13.33 billion, and open interest rose 9.10% to $7.28 billion. Institutional appetite has also held up, with Solana ETFs posting 12 consecutive weeks of inflows and cumulative inflows topping $1.4 billion. Brandt's chart work suggests the "cup" spans from the 2021 peak to the 2022 market low, followed by an extended consolidation phase that may represent the "handle." The key hurdle sits around $240, and the setup would require a sustained breakout above that zone to be confirmed. From around $116, a move to $240 implies roughly 106% upside. Near-term, the sharp rebound could prompt profit-taking. On the downside, the $80–$85 area remains the primary support zone; a breakdown below it would undermine the cup-and-handle thesis. Technical indicators are mixed: ADX near 20 points to a still-weak trend, while a falling ATR suggests declining volatility and continued price compression.