Key point:
The narrow trading range of SOL suggests a potential range expansion in the coming days. The possibility of a breakout to the upside remains high as bulls buy on every small dip.
The proposed Solana (SOL) ETF by Fidelity Investments has been delayed, as the U.S. Securities and Exchange Commission requested public comments within 21 days and responses within 35 days.
Bloomberg's ETF analyst, James Seyffart, said in a post on X that the delay was expected. In another post, Seyffart mentioned that 'interactions between the SEC and issuers/exchanges should be viewed positively.'
Can Solana rise above its upper resistance in anticipation of a possible approval in the future? Let's analyze the charts to find out.
SOL Price Prediction
Solana fell from the 50-day simple moving average ($154) on Monday, indicating that bears are fiercely defending the level.
A positive point for the bulls is that they did not allow the price to drop and remain below the 20-day exponential moving average ($149). The trading range is narrowing, signaling a potential breakout in the coming days.
If the price rises above $159, momentum may gain strength and the SOL/USDT pair could rise to $168 and eventually to $185.
On the other hand, if the price drops and breaks below $144, it suggests that the bulls have given up. This could pull the price down to $137 and then to $130.
The pair has formed a bearish descending triangle pattern on the 4-hour chart, which will be completed with a breakout and close below $144. This could initiate a downward move to $137 and then to the pattern target of $129.
Buyers have other plans. They are trying to push the price above the downtrend line, invalidating the bearish setup. If they succeed, the pair could rise to $159. This is a crucial level to watch, as a close above $159 would complete an inverted head and shoulders pattern, which has a target of $192.
