Solana ( SOL ) has broken out of a key technical formation that hints at the decentralized finance ( DeFi ) asset hitting a record high, with the potential to rally 630%. Technical indicators suggest the asset has moved above the bullish cup and handle formation, which now points to SOL reaching $1,315, according to crypto analyst Ali Martinez in an X post on August 9. A cup and handle is a bullish chart pattern where a rounded bottom (cup) signals accumulation, followed by a short dip or sideways move (handle) before a breakout that often continues the uptrend, with targets based on the cup’s depth. SOL price analysis. Source: TradingView In Solana’s case, the cup began forming after the token’s steep decline from its 2021 highs, bottoming out around $8 in late 2022. Over the following months, SOL steadily recovered, completing the cup by mid-2024 and then forming the handle, a descending channel that capped the price below $200. The recent breakout above this handle has activated the bullish target, with Fibonacci extension levels supporting the possibility of a run toward $1,315. The analysis highlighted key intermediate resistance levels at $380, $752, and $1,048 before reaching the projected target. Currently trading near $180, Solana would need to rally over 630% to hit the $1,315 goal. If it were to reach this target, the asset would command a market cap of about $710 billion, potentially ranking as the second-largest cryptocurrency if Ethereum saw minimal growth over the same period. Solana price analysis By press time, SOL was trading at $179.37, down about 1.7% in the last 24 hours. Over the past week, however, the asset has gained 11%. Solana seven-day price chart. Source: Finbold Notably, at its current price, Solana is well above its 50-day SMA of $166.04 and 200-day SMA of $156.12, signaling strong bullish momentum. The 14-day RSI at 57.16 shows the asset is in a healthy range, leaving room for further gains without immediate overbought risk. Featured image via Shutterstock The post Solana flashes a clear signal to hit $1,315 target appeared first on Finbold .