Solana (SOL) has broken through the key resistance level of 180 USD, but the upward trend still faces the risk of correction if selling pressure from Bitcoin remains strong.
The upward momentum of SOL is supported by large capital flows and institutional investor attention; however, trading liquidity remains an important question.
MAIN CONTENT
Solana plays a support role at the 180 USD zone but needs more buying pressure to establish a sustainable upward trend.
The capital flow from large investors and technological advantages help SOL attract institutional attention.
Selling pressure from Bitcoin and liquidity volatility remain short-term concerns for SOL.
Has Solana (SOL) successfully surpassed 180 USD?
Solana has just transformed the resistance level of 180 USD into an important support level on the daily chart; however, market signals are still not truly solid due to insufficient buying liquidity.
Successfully protecting this support zone is a positive signal for SOL's short-term prospects. However, technical indicators like OBV (On-Balance Volume) indicate that buying volume has not increased significantly, raising concerns about the ability to maintain upward momentum.
Trading volume is a decisive factor for the upward trend to be reinforced after a resistance zone turns into support.
Source: TradingView, 2024 market analysis report
If selling pressure from the entire market, especially from Bitcoin, continues to remain strong, the support zone of 180 USD is still at risk of being broken, creating short-term bearish pressure on SOL.
What is the level of liquidity and price volatility of SOL?
The liquidity of Solana around the 180 USD zone shows that the buying flow is not large enough, although the general sentiment is optimistic thanks to the position of whales.
The OBV indicator on both the daily and 4-hour charts shows relatively low trading volume, meaning demand has not increased significantly compared to previous price increases. RSI is also in the neutral zone, reflecting market indecision.
Low trading volume along with unclear investor sentiment poses a significant barrier to any short-term price increases.
Market analyst Boaz Sobrado, 2024, through comments on CoinDesk
Additionally, the period from 206 USD to 180 USD has recorded a sharp decline in liquidity, making recovery waves harder to predict without the participation of large capital flows.
What reasons cause institutions and whales to be interested in Solana?
Fast transaction processing performance, low fees, and good scalability are strengths that help Solana attract special interest from institutional investors.
Recently, a large whale bought 60,000 SOL, worth 11.23 million USD, further reinforcing confidence in the growth expectations of this cryptocurrency in the future.
Solana is a bright spot with a strong infrastructure system, attracting large investment capital from major institutional funds globally.
Jane Street Digital, Blockchain Market Report, 2024
The ability to meet large-scale usage demands makes SOL an attractive choice, especially as investment funds continue to seek potential blockchain assets outside of Bitcoin and Ethereum.
What is the role of Bitcoin and market sentiment on SOL's price?
The volatility of Bitcoin directly affects the price trend of SOL as BTC still plays a leading role in the cryptocurrency market.
At the time of writing, Bitcoin is trading around 113,200 USD (above the support zone of 112,400 USD), but strong selling pressure from institutions like Ark 21Shares has created a cautious sentiment in the altcoin group, including Solana.
The actions of large funds regarding Bitcoin often create a ripple effect across other digital assets, causing significant volatility throughout the market.
Research company Arcane Research, Q2/2024 report
If Bitcoin stops correcting and stabilizes above the strong support zone, it will almost certainly lead to a recovery of altcoins like SOL.
What is the important threshold that confirms the upward trend of SOL?
To confirm the bullish structure on the 4-hour chart, SOL needs to exceed the 188 USD mark, asserting the control of buyers at the 180 USD support zone.
The upward momentum is only reinforced when the price moves sustainably above 188 USD, opening up opportunities to challenge the next important resistance area at 206.3 USD on the daily chart.
Price level (USD) Technical significance 155.8 Major support below 180 New support area, just flipped from resistance 188 Confirmation level for buying pressure on the 4-hour chart 206.3 Next strong resistance on the daily chart
If liquidity increases and demand remains high, the prospect of reaching the 206.3 USD zone for SOL is entirely feasible in the medium term.
Frequently asked questions about Solana (SOL) and current price trends
Has Solana officially broken the 180 USD level?
SOL has transformed the 180 USD level from resistance to support, but its sustainability depends on subsequent buying pressure and the overall market dynamics.
Does institutional capital play a significant role in SOL's price?
The capital flow from whales and institutions is a decisive factor for the short- and medium-term trend of SOL, especially in the face of Bitcoin's volatility.
What is the next important price level for Solana?
The 188 USD level is a confirmation point for the upward trend on the 4-hour chart; on the daily chart, the 206.3 USD zone is the next target if the foundation maintains upward momentum.
What are the reasons Solana is gaining attention during this period?
Outstanding trading performance, low fees, and large capital inflows from institutions make SOL a top choice outside of Bitcoin and Ethereum.
How does the selling event of Bitcoin funds affect SOL?
The selling actions of large funds can create downward pressure on the market, directly affecting SOL's price in the short term.
What technical indicators stand out in SOL's price movements?
OBV and RSI are two indicators that clearly reflect the liquidity and momentum status of SOL, helping to identify trends and short-term reversal points.
Can SOL continue to rise in the near future?
If buying pressure improves, liquidity recovers, and Bitcoin stabilizes, the possibility of continued growth for SOL is entirely justified.
Source: https://tintucbitcoin.com/solana-thieu-cau-gia-kho-tang-manh/
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