Solana ($SOL) has regained its footing, steadily climbing after finding support near $215. With the cryptocurrency trading above critical levels, the question remains: can SOL sustain its uptrend and overcome the $240 and $250 resistance levels?
Recent Performance Highlights
SOL has resumed its upward trajectory against the US Dollar, breaking key resistance levels at $225 and $230. The price is now trading above $230 and the 100-hourly simple moving average (SMA), indicating continued bullish momentum. A breakout above a descending trendline near $232 on the SOL/USD hourly chart confirms buyers' dominance in the short term.
Critical Technical Levels
1. Resistance Levels:
$240: The 76.4% Fibonacci retracement level of the recent drop from $246 to $215 serves as immediate resistance.
$246 and $250: A move above these levels would confirm a major breakout, potentially triggering a sustained rally.
2. Support Levels:
$230: Immediate support lies here, bolstered by the 100-hourly SMA.
$220 and $215: These levels provide further support, with a break below $215 potentially signaling bearish pressure.
Solana Price Forecast
Bullish Scenario: If SOL breaks above the $240 resistance, the next significant hurdle is $246. A daily close above $250 would likely spark another strong rally, with $265 and $280 as the next targets.
Bearish Scenario: Failure to surpass $240 could see SOL testing the $230 support. A break below $220 would increase selling pressure, potentially driving the price down to $215 or even $200.
Technical Indicators
MACD (Hourly: The MACD is gaining strength in the bullish zone, reflecting rising momentum.
RSI (Hourly): The RSI for SOL/USD is above 50, further affirming bullish conditions.
Key Levels to Watch
Major Support Levels: $230, $220
Major Resistance Levels: $240, $250
Conclusion
Solana's price action indicates a strong potential for further gains, provided it clears the $240 resistance zone. A decisive move above $250 could mark the beginning of a sustained uptrend, while failure to hold above $230 might signal a pullback. Traders should monitor key levels closely and consider broader market conditions when making investment decisions.
