The Solana price has rallied 6% over the last 24 hours to trade at $58 as of 4:00 a.m. EST.
Although SOL is down 14% over the last week, it remains extremely bullish on the longer timeframes. The smart contracts token is trading 81% and 185% above its value 30 days and three months ago, respectively. It is up approximately 200% over the last six months and more than 480% above its January opening.
Solana’s bullishness on Thursday is accompanied by an impressive leap in its trading volume which currency stands at $1.8 billion, placing at position four among the top trending cryptocurrencies on CoinMarketCap.
Top Trending Cryptos on CoinMarketCap
The latest uptick in SOL’s value can be attributed to the listing of BONK—a meme coin on the Solana network on Binance.
The support for BONK by the world’s largest cryptocurrency exchange by market volume saw it witness a huge jump in value on Wednesday, logging a more than 25% surge, according to data from CoinGecko.
On Nov. 22, Binance announced that it will be launching a BONK future offering—1000BONK—along with one for PYTH, a decentralized finance (DeFI) network of oracles that made waves with a 255 million PYTH token airdrop
#Binance Futures will launch the USDⓈ-M 1000BONK and PYTH Perpetual Contracts at
Read more
— Binance Futures (@BinanceFutures) November 22, 2023
This announcement that saw two of the buzziest coins on Solana gain support from Binance is notable given that the exchange recently lost its high-profile CEO Changpen Zhao who pleaded guilty and resigned on Tuesday due to charges brought against him in the United States and has seen over $1 billion in outflows since. Industry analysts are calling the BONK and PYTH moves an early market-making play by new Binance CEO Richard Teng.
The clear highest priority for the new Binance CEO is $BONK https://t.co/BZT5aKr2c9
— Bonk! (@bonk_inu) November 22, 2023
Solana appears to be riding the coat-tails of which has seen a surge in the price of BONK as developers rediscover the blockchain’s strengths.
As SOL trades above $50, bulls are seeking to make sure that the “Ethereum killer” regains its former glory by pushing it back above $100.
Solana Price Remains Bullish as it Escapes from a Bearish Triangle
The SOL price action had painted a descending triangle on the daily chart. This is a significantly bearish chart formation characterized by a series of lower highs (resistance line) and relatively equal lows (support line). It is confirmed when the price breaks below the support line signaling a continuation of the downtrend.
At the time of writing, Solana had escaped from the governing chart pattern as it traded above the triangle’s hypotenuse. A daily candlestick close above this level would suggest a bullish breakout from the chart formation with the altcoin rising towards the triangle’s high at $68 or the $70 psychological level.
In highly ambitious cases, SOL could rise to collect the supply side liquidity above $70 with the target set at $100. This would bring the total gains to 73% from the current level.
SOL/USD Daily Chart
This positive outlook was supported by the Directional Movement Index (DMI) which showed that the positive directional line +D1 at 28 was way above the negative directional line -D1 at 10. The value of the averaged directional line ADX at 68 suggested that Solana’s uptrend was very strong.
On the other hand, failure to produce a daily candlestick close above the triangle would see the price remain within the confines of the technical chart pattern. Increased selling would see SOL fall below the triangle’s support line at $51 bringing areas around $40 into the picture.
This would represent a 32% decline from the current price and is where the upside could be capped for Solana in the near term.
The post Solana Price Analysis: SOL Soars 6% to $58 as BONK Gains Binance Listing appeared first on Analytics Insight.
Source: https://www.analyticsinsight.net/solana-price-analysis-sol-soars-6-to-58-as-bonk-gains-binance-listing/