A golden cross is approaching as Solana nears $200: Will it experience a 50% rally?
Solana's MVRV ratio of 1.3 indicates room for growth before overbought conditions, supporting a sustained rally. The upcoming golden cross, which ends a two-month death cross, signals possible bullish momentum for SOL. SOL is trading near $172 with resistance at $178. A breakout above could drive a rally of 51% to $262 by the end of the second quarter.
Historical data shows an overbought threshold near 1.8, suggesting that Solana has room to grow before facing a potential price correction. This positions SOL for additional upward movement without immediate risk of reversal. Investors may find reassurance in this metric, as it suggests that the recent gains of the altcoin are sustainable. The healthy MVRV ratio indicates that Solana's price growth is supported by fundamentals rather than speculative excess, reducing the likelihood of a sharp pullback.
Technical indicators highlight a significant shift in Solana's momentum. The 50-day exponential moving average (EMA) is about to cross above the 200-day EMA, ending a death cross that lasted more than two months.
This crossover will confirm a golden cross, a bullish signal that is often followed by prolonged upward trends.