As Solana (SOL) trades at multi-year lows, some analysts have lowered their end-of-year targets. Meanwhile, other market watchers have warned that the altcoin risks another 50% correction after a bearish formation was recently confirmed.

On Wednesday, Solana retraced nearly 10% in the daily timeframe, reaching a two-year low of $90. The cryptocurrency had been trading between $120 and $250 in the monthly chart since February 2024, retesting and bouncing from its macro support multiple times. The altcoin lost this crucial area over the weekend, closing January at around $105.

After failing to maintain this level, SOL started the month attempting to hold the $100 psychological barrier and reclaim the $105 resistance as support. Nonetheless, the latest market movement, which also dragged Bitcoin (BTC) toward multi-year lows, pushed Solana below its bull market lows from last year.

Amid this performance, market observer Alex Clay affirmed that SOL has “started to look bad.” The analyst noted that the altcoin’s chart shows a confirmed bearish formation after the recent price action, highlighting that it has also lost an important support zone.

Per the chart, the cryptocurrency displays a macro Head and Shoulders (H&S) pattern in the weekly timeframe, which has been forming since early 2024. The left shoulder developed during the Q1-Q2 2024 run, while the head formed during its late 2024 and early 2025 rally, which led to its All-Time High (ATH) of $293. This performance placed the neckline of the bearish formation around the $105 area.

Notably, the pattern’s right shoulder began to develop after the Q3 2025 rally and was confirmed during the latest market crash. Now, the cryptocurrency has fallen below the neckline and could confirm it as resistance if the price closes the week under $105.

Clay warned that the pattern’s first target sits around the $42 mark, representing a 55% correction from current levels. Other market watchers have also expressed concerns about SOL’s future performance, suggesting that a correction toward new lows is likely.

Sjuul from AltCryptoGems noted that the Solana chart gives “a truly panic-inducing feeling” with “a vast no man’s land!” below it. Similarly, Crypto Tony asserted that after breaking the $100 low “with conviction,” the next major support for the altcoin sits around $50. To him, a correction toward this area is “obvious” as Bitcoin has “yet to find a bottom.”

Altcoin Sherpa cautioned that SOL has also lost the 200-Week Exponential Moving Average (EMA), which is “a last stand area before $75 or lower.” He pointed out that the cryptocurrency tends to have strong price reactions due to “the gambling chain,” but noted that means corrections are usually stronger.

Moreover, a major financial institution has recently lowered its end-of-year target for Solana. As reported by NewsBTC, Standard Chartered trimmed its near-term forecast from $310 to $250, mentioning the time required for the network’s next major use case to scale.

Despite its short-term trim, the bank raised its longer-term targets, forecasting SOL at $2,000 by 2030 as it stops being “a one-trick pony” and evolves “from memecoins to micropayments.” As of this writing, Solana is trading at $93.28, a 27.9% decline on the weekly timeframe.