SOL Price Rallying North With Eyes On $59

For the past five weeks, the Solana (SOL) price has lowered under the influence of a descending trendline. However, on June 20th, the coin buyers gave a bullish breakout from his dynamic resistance, indicating a recovery opportunity for traders. The sustained buying should bolster buyers to breach the immediate resistance of $48.3 and climb towards the $59 mark.

Key points

• The OBV indicator slope shows a parabolic rally 
• The SOL price shows a 57% rise within a fortnight.
• The 24-hour trading volume in the Solana coin is $1.69 Billion, indicating a 3.6% loss.

Source-Trading view

Following the drastic fall in April and May, the SOL/USDT pair took a slow yet gradual approach to the lower levels. In response to a descending trendline, the falling price dropped to a new 2022 low of $26.06.

However, amid the approving market sentiment, the SOL price bounced back from the $26 support and breached the dynamic resistance trendline on June 20th. The post-retest rally accelerated buying pressure and bolstered buyers to pierce through the horizontal resistance level of $37.5.

If the SOL price shows sustainability above $37.5 flipped support, the buyers should drive the altcoin 44% higher to $59, as per the technical setup. 

Alternatively, if the sellers pull the SOL price below $37.5, the fake breakout would force-liquidate the aggressive buyers and plunge the coin price back to $27-26 support, accounting for a 33.6% loss.

Technical indicator

The supertrend indicator accentuates an overall downtrend for SOL/USDT pair.

The OBV indicator shows a steeper rally than price action, indicating rising interest for long positions. 

Contrary to price action, the MACD indicator slope rising indicates growth in underlying bullishness. Moreover, the fast and slow line nearing a crossover above the midline offers an extra edge to long trades.

• Resistance level- $48.3 and $59
• Support levels- $37.5 and $27-26