Published 21 mins ago
The leading cryptocurrency Bitcoin has recently reached a 10-month high of $30,000, triggering a positive shift in market sentiment toward recovery. As a result, the Solana price surged 12% today and breached an 11-month-long resistance trendline. This bullish breakout could be an early sign of trend reversal offering an excellent risk-to-rewards ratio.
Key Points
- A high momentum breakout from the long-coming resistance trendline reflects a sign of a sentiment shift from selling on rallies to buying on dips.
- A potential retest to the breached trendline could offer an entry opportunity to trades.
- The 24-hour trading volume in the Solana coin is $950 Million, indicating a 426% gain.
Source-Tradingview
The daily time frame chart clearly shows the Solana price has been receiving heavy selling at a downsloping trendline. The multiple reversals from this dynamic resistance indicate the sellers getting active at bullish pullbacks which is a key trait of an established downtrend.
However, a recent phase of uncertainty in the crypto market prevented sellers from prolonging an aggressive downfall resulting in a consolidation phase in the last three weeks. Amid this tug of war, the buyers wrestling for trend control gave a massive breakout from the aforementioned trendline.
Also Read: Top Crypto Copy Trading Platforms For 2023
The breakout candle backed by a significant rise in volume indicates the buyers are committed to reaching higher levels. If the daily candle closes above the trendline, the buyers obtain significant footing to prolong the price recovery.
With sustained buying, the Solana price may rise 16% to reach the first target of $26.8, followed by $30.5, and $30.5.
Technical Indicator
RSI: The daily RSI slope surged into bullish territory indicating strong buying pressure in the market.
EMAs: The coin price moving above the daily EMAs(20, 50, and 100) offers strong support to buyers during occasional pullbacks
Solana Coin Price Intraday Level
- Spot price: $23.19
- Trend: Bullish
- Volatility: Low
- Resistance levels: $26.8 and $30.5
- Support levels: $16.8 and $15
The presented content may include the personal opinion of the author and is subject to market condition. Do your market research before investing in cryptocurrencies. The author or the publication does not hold any responsibility for your personal financial loss.
Source: https://coingape.com/markets/solana-price-breakout-from-multi-month-resistance-hints-a-massive-move-ahead-enter-now/