Losing momentum three weeks ago, Sol revisited a critical support level but later bounced back. It is now gearing up for another rally following a notable recovery over the past few days.
During the last leg down, Sol found a solid ground and stayed firmly above the $175 level, which has been acting as a key support for almost three months now. A sharp bounce off this support brought a little recovery and the asset is now trading slightly above $200.
However, volume inflow currently appears low on the daily scale. But a significant increase in the inflow should set the price up for a bigger gain in the future. As of now, the asset seems to be gathering momentum.
Technically, Sol is forming a bullish pattern on the daily chart. From the look of things, it is much more likely to follow the previous pattern that sent the price to $295 last month. If the bulls show strong commitment, we can anticipate such a pattern to repeat to a new high.
Currently, the bears are off the market. If they step back in the market as a result of supply, the price may slip back to the mentioned support. A break below this support may lead to a serious loss before locating a new support level. But looking at the current bullish pattern, Sol is expected to see more recoveries in the near term.
SOL’s Key Level To Watch
Source: Tradingview
The resistance levels to watch on the way up are $223 and $244.7. A push above these levels could propel buying to $272 before retaking the recently marked $295 high.
If Sol loses the important $200 level again, it may roll back to $187.5 and the crucial $175.9 support. A break below it could cause a major loss to $165 in the future.
Key Resistance Levels: $223, $244.7, $272
Key Support Levels: $187.5, $175.9, $165
- Spot Price: $202
- Trend: Bullish
- Volatility: Low
Disclosure: This is not trading or investment advice. Always do your research before buying any cryptocurrency or NFTs.
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Source: https://nulltx.com/solana-price-analysis-prediction-february-11-is-sol-may-rally-to-a-new-high-if-this-bullish-pattern-repeats/