Solana Price Eyes Bullish Breakout
Solana (SOL) is looking to make a fresh increase above the $19.00 resistance against the US Dollar. In order for SOL price to start a fresh increase, it must settle above $19 and $20. The price is currently attempting a bullish breakout above the $19 resistance, but is trading below $20 and the 100 simple moving average (4 hours).
According to data from Kraken, there is a major bearish trend line forming with resistance near $18.80 on the 4-hour chart of the SOL/USD pair. If the pair is able to gain bullish momentum and settle above the trend line and $20, it could see further upward movement.
Solana’s price recently experienced a decline, falling below the $22 support level. It even traded below $20, entering a bearish zone. However, the price has now formed a low near $17.37 and is attempting a fresh increase, similar to Bitcoin and Ethereum. It has moved above the $18.50 resistance zone and even spiked above the 50% Fib retracement level.
Despite these positive developments, the bears are still preventing a close above the $19 resistance. The 4-hour chart also shows the major bearish trend line near $18.80. Solana is currently trading below $20 and the 100 simple moving average (4 hours). The immediate resistance is near the $19.00 level, followed by the $19.40 level or the 100 simple moving average (4 hours). The next key resistance is near $20, and a clear move above this level could send the price towards the $21.20 resistance and potentially even the $22 level.
However, if SOL fails to settle above $19.00 and $19.40, it could experience another decline. The initial support on the downside is near the $18.10 level, followed by the $17.40 level. If the price closes below the $17.40 support, it may decline further towards the $16.50 support. In this scenario, there is a risk of more downsides towards the $15.00 support in the near term.
In terms of technical indicators, the MACD for SOL/USD is gaining pace in the bullish zone on the 4-hour chart. The RSI (Relative Strength Index) is also above the 50 level.
In summary, Solana is currently attempting a bullish breakout above the $19 resistance against the US Dollar. The price must settle above $19 and $20 in order to start a fresh increase. However, there are major resistance levels to overcome, and if the price fails to do so, it could experience another decline. Traders should closely monitor the $19.00 and $19.40 levels for potential price movements.
Sources:
– SOLUSD on TradingView.com
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About the author - J-S Tremblay
I've been involved in the cryptocurrency world since 2016 and trading since 2019. I started Moon and Lambo in 2021. I'm passionate about crypto and love to share my knowledge. I hate bankers and I hope that cryptocurrency will change the financial world for the better. View full profile...
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