Solana Short-Term Price Prediction: Breakout or Rejection?

solana ,Fifth note of musical scale) The price is approaching an important resistance at $14.80. If it breaks out or gets rejected it can determine the future trend. interesting thing sol price The increase came last week despite negative Solana news.

SOL is the native token of the Solana blockchain platform. Solana Blockchain Combines One -proof-of-stake (PoS) consensus mechanism with Proof of History (POH). The platform was founded by Anatoly Yakovenko and specializes in smart contracts.

Last week’s Solana news was mostly negative. Matrixport continues to trend Projects leaving Solana and announced that sol remove dual currency products,

However, Bonk Coin offers a glimmer of hope. This is the first native Solana Dog meme coin and has increased 130% after its airdrop. With this in mind, Solana worth It has gained 75% since its December 29 bottom.

Solana Short-Term Price Prediction: Can It Break The Lead For Higher Prices?

Technical analysis of the six-hour chart shows that Solana has broken below the descending resistance line since November 9th. The downward movement reached a low of $8 on December 29.

Despite the decline, the price of SOL began an upward trend almost immediately after the low, forming a long lower wick (green icon) in the process. It broke above the descending resistance line on January 4 and has gained 72% since then. After the breakout, Solana reached a maximum price of $14.20. SOL token price is now approaching the $14.80 resistance area.

So, Solana short term price prediction depends on whether the price will break out of the $14.80 resistance area or not. A breakout could accelerate the upward movement towards $20, while a breakdown could lead to a retest of the resistance line.

Solana (SOL) Price Breakout
SOL/USDT six hour chart. source: trading view

Breakout or Rejection?

The daily chart reiterates the importance of the $14.80 resistance area. it seems that solana price It is trading inside a descending parallel channel, and its resistance line coincides with the $14.80 resistance area.

While the descending channel is considered a bullish pattern, SOL price is still trading below the resistance.

while the daily RSI has broken above 50, as it did in early November (green circle) before falling. As a result, pointer reading cannot yet be considered bullish.

A breakout from the channel could take SOL price to the 0.5 Fibonacci retracement resistance at $23.40. Conversely, a rejection could lead to a retest of the $7.80 support line.

solana price channel
SOL/USDT Daily Chart. source: trading view

To conclude, Solana price analysis for the future is still unclear. A breakout from the $14.80 area and the long-term channel could greatly accelerate the upward momentum.

On the other hand, failing to do so could result in new yearly lows. Negative Solana news may also affect the likelihood of a breakout.

For the latest crypto market analysis from BeInCrypto, Click here.

disclaimer

BeInCrypto endeavors to provide accurate and up-to-date information, but shall not be responsible for any missing facts or incorrect information. You comply and understand that you should use any of this information at your own risk. Cryptocurrencies are highly volatile financial assets, so do your research and make your own financial decisions.

#Solana #ShortTerm #Price #Prediction #Breakout #Rejection

Weeo

Weeo

Leave a Reply

Your email address will not be published. Required fields are marked *