- Solana has been through some tough times in recent years, but it is starting to make a comeback.
- Solana is currently one of the most bullish cryptocurrencies on the market, with a weekly price increase of 8.33%.
- Solana is facing resistance around the $24.6 zone, but it is likely to break through this resistance and rally to $30 or even higher in the near future.
- Solana’s price action is in a descending wedge formation, which is a bullish pattern.
- Solana has to watch out for the following levels: $24.6, $28.7, and $32.6. If it can break through $32, it will have a good chance of reclaiming $37.16 and leading the charge towards the next bull market.
Solana has been through some tough weather over the past few years. Asides being affected by the 2021 bear market like all the other cryptocurrencies, SOL was one of the most badly hit cryptocurrencies when FTX, Alameda Research and SBF went under, nine months ago in November 2022.
Solana’s path to recovery was promising over the better part of this year. The cryptocurrency even came very close to reclaiming its $39 pre-FTX high with a $32.13 high on July 14th.
However, Solana’s bears soon caught up to the bulls and have pulled the cryptocurrency under ever since.
However, SOL is starting to fight back. And as it turns out, the cryptocurrency is at one of its most bullish phases this year.
Let’s delve into some fundamentals and technicals.
Solana Makes Promising Comeback
CoinMarketCap data shows that Solana iscurrently one of the most bullish cryptocurrencies on the market, from a weekly perspective.
Compared to the two largest, Bitcoin and Ethereum with 1.47% and 1.2% weekly price rallies respectively, CoinMarketCap shows that SOL is showing some impressive numbers, and is up by 8.33%.
In the charts, we can see that right after SOL’s initial rally that took it face to fact to $32, the bears sent prices plummeting.
However, the bulls were quick to take action, catching SOL somewhere around $22.61.
As the charts illustrate, SOL has spent the past few weeks in a consolidation atop this price level.
The cryptocurrency’s most recent attempt to bounce off this price level is responsible for its +8% price increase over the last week.
It also appears that SOL is facing resistance somewhere around the $24.6 zone.
Because of this resistance, SOL now appears to be suck in a range between $22.6 and $24.6.
This leads to the question:
Solana Ready To Retake $30?
To answer this question, let us zoom out a litte bit, to get a clear picture of what is going on.
It appears that SOL was in a descending wedge formation, as far back as three months before FTX went down, and it plummeted by -90% in less than a day.
And as things turn out, Solana’s 133% price explosion from $13.5 on 7 June to $32.5 on 14 July was actually a breakout from this formation.
It follows that Solana’s current price hassle is the consolidation phase after the breakout.
The weekly RSI sits on the neutral zone, indicating that the bulls and bears may even be evenly matched.
Judging by the technicals on SOL, predicting that this cryptocurrency is on the verge of rallying massively very soon would not be so ridiculous.
How High Can Solana Go?
To have any chance at a massive rally we all expect, the fibonacci tool shows that Solana first has to clear out the $28.78 resistance.
This means that it first has to break out of the current range between $22.6 and $24.6
To put things simply, the following are the levels SOL has to watch out for:
If SOL manages to rally and break through $32 again, the cryptocurrency will have everything it needs to reclaim $37.16 and maybe become one of the cryptocurrencies that lead the charge towards the next bull market.
Disclaimer: Voice of Crypto aims to deliver accurate and up-to-date information, but it will not be responsible for any missing facts or inaccurate information. Cryptocurrencies are highly volatile financial assets, so research and make your own financial decisions.