Solana amazed the entire crypto space with a gigantic rally which surged above $250 in a short period. Woefully, the rally quickly faded and is currently appearing to slash towards its initial levels.
While the present consolidation is looked upon as a minor accumulation which may ignite a decent uptrend further, yet the possibilities of the asset falling beneath $70 also surfaces the waters.
The asset has been severely impacted by the recent market plunges. And the constant security breach on the network has diminished the traders trust which may also have fueled the downtrend.
Currently no doubt the asset is trying hard to halt the bearish trend with a small accumulation, yet the upcoming couple of hours are extremely crucial for the asset. As the price direction of the next leg is to be determined by the respective volume accumulated.
Solana (SOL) To Retest Lower levels or Rally Hard ?
The Solana price in a higher time frame manifests both the possibilities of surging towards the north only if it smashes the trigger level at $130. Else if it fails to clear these levels, then a huge drop beyond $50 is quite possible.
The reason is the asset being trending within a huge symmetrical triangle where a breakout is possible irrespective of the direction of the price.
Considering the present scenario the asset following the current consolidation trend may surpass $100 to hit $102. And here a huge downtrend may be triggered which could drag the price back towards $80 shedding nearly 20% loss.
This may attract huge buyers onto the platform that may induce huge volume which may in turn assist the price to ignite a flip. And hence a strong rebound could rally the price back above $200 in the next 2 to 3 months.
Source: https://coinpedia.org/price-analysis/solanasol-price-is-attempt-to-roar/