SOL Price Consolidates Near $100.0; Is $130 Possible?

SOL price treads water with no clear directional bias. The recent price action shows signs of a consolidation that could result in a trend reversal as it approached a solid multi-week support zone on the daily time frame.

• SOL price trades with modest gains on Tuesday.
• Expect a bounce-back as the price harbors a crucial support zone around $100.0.
• However, the upside faces immediate resistance near the 50-day EMA.

SOL price consolidates to take the next step up

SOL price retraced nearly 30% from the swing highs of $140.0 and is currently hovering around the $100.0 level. From November 2021 to April 2022, the SOL price formed three distinctive lower highs and lower lows, which when connected using trend lines reveal a bearish pattern.

Currently, the price refuge near the critical support zone makes bulls hopeful of a quick recovery. However, clearance above the upside filter at the 50-day EMA (Exponential Moving Average) at $105.80 would be a healthy sign for the upside continuation.

A daily close above the moving average will pave the way toward further gains. Investors will seek the upside target at the highs of April 8 at 122.48. Next, the bulls would attempt to recapture the swing highs of $143.57.

Alternatively, if the price fails to hold the session’s low amid a spike in sell orders it would drag the price toward the horizontal support zone at $90.0.

As of publication time, SOL/USD is trading at $102.46, up 0.08% for the day. The seventh-largest cryptocurrency is holding a 24-hour trading volume of $1,533,286,945 according to the CoinMarketCap.

Technical indicator:

RSI: The daily relative strength index hovers below the average line since April 5. However, attempts to pierce above it that could result in an upward price movement.

MACD: The moving average convergence divergence stays in the positive zone with a neutral bias.

About Author

Rekha has started as Forex market analyst. Analyzing fundamental news and its impact on the market movement. Later on, develop an interest in the fascinating world of cryptocurrency. Tracking the market using technical aspects. Exploring on-chain analysis to track the market.