Solana Price Jumps 8% today; Is It Ready To Resume Prior Recovery?

sol

Published 16 hours ago

After an explosive rally in January, the Solana coin price went sideways after hitting the $26.84 resistance. This consolidation phase is meant to replenish the bullish momentum and check price stability at newly reclaimed levels. Here’s how interested investors can benefit from this range-bound rally. 

Key Points

  • For new market entries, the range between $26.84 and $20 is a no-trading zone.
  • A high momentum breakout from either side of the range will release the Solana coin from ongoing consolidation.
  • The 24-hour trading volume in the Solana coin is $1.78 Billion, indicating a 360% gain.

Solana PriceSource-Tradingview

For over a month, the Solana coin price has resonated at fixed levels of $26.8 and $20, creating a narrow range. The coin price rebounded from both the aforementioned levels at least thrice indicating the traders are actively responding to this level.

Amid the recent recovery in the crypto market, the SOL bounced back from the $20 support and showcased a V-shaped recovery. Anyhow, recovery of this kind implies a high level of confidence among buyers to raise the asset’s market value.

The SOL price is 27.35% up since last week, and currently challenges the range resistance of $26.8. As mentioned above, a consolidation phase before a sharp rally is just a temporary break before the recovery rally resumes.

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Therefore, the Solana coin price has a higher chance to break the $26.8 resistance than the other way around. Moreover, a daily candle closing above the aforementioned resistance will signal the resumption of the bullish rally and offer a long entry opportunity.

The potential rally could soar the SOL price to the following resistance level of $30.3, $34.25, or $38.55.

On a contrary note, a reversal from the $28.6 resistance will prolong the sideways and in an unfavorable scenario, a breakdown below $20 will trigger a downfall to $15.

Technical Indicator

RSI: An uptrend in the RSI slope surged above the midline(50%) and 20-SMA, indicating the bullish sentiment in returning to Solana.

EMAs: A bullish crossover between the 20-and-50-day EMA may accelerate buying pressure to support a $26.8 resistance breakout.

Solana Coin Price Intraday Level

  • Spot price: $26
  • Trend: Bearish
  • Volatility: Low
  • Resistance levels: $26.8 and $30.3
  • Support levels: $22.4 and $20

From the past 5 years I working in Journalism. I follow the Blockchain & Cryptocurrency from last 3 years. I have written on a variety of different topics including fashion, beauty, entertainment, and finance. raech out to me at brian (at) coingape.com

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-jumps-8-today-is-it-ready-to-resume-prior-recovery/