Analysis of the Recent Price Surge of Solana Cryptocurrency
In the past month, Solana has experienced an exceptionally volatile growth pattern. From a low of $12.8 on June 10th, the cryptocurrency has demonstrated a significant growth of 120%, a massive rally that brought it to the current price of $28.25. The question at hand now is whether the bullish momentum exhibited by Solana will last, leading to further growth prospects.
This increase is considered to be largely influenced by a positive sweeping pattern of a symmetrical triangle chart pattern and the spillover effects of the XRP coin price increase. However, the consistency with the SOL prices maintaining this bullish trend will be instrumental in defining the possibility of subsequent growth.
Veteran Investor’s Predictions for Solana’s Price
Predictions from established market players play a significant role in influencing market trends. According to veteran investor, Raoul Pal, he foresees a 20-fold increase in the price of Solana (SOL). Predictions such as this drive positive market sentiments amongst traders and investors, invariably influencing market performance.
Solana’s Price Daily Chart
- The figure of $26.77 breakout alludes to a SOL price upturn of around 35.6%.
- It is possible for Solana’s price to undergo minor corrections prior to the next leap.
- The forty-eight hours’ trading volume on Solana is approximately $146.5 Million, which demonstrates a 37% loss.
Source: Tradingview
Dive into the thick of Solana’s recovery, and you’ll find that Solana attempted to break out from the multi-month resistance of $26.77. However, this attempt was unsuccessful. The long-wick rejection tied to the June 14th daily candle suggests that sellers are actively defending this resistance.
Today, with an upward climb of 6.6%, the aggressive buyers are back to re-challenge the overhead resistance – hoping to move upwards. Given that, potential buyers will need to see a candle close above $26.77 to solidify this breakout.
If the coin manages to hold the ground at the $26.77 flipped support, it could provide buyers with a robust platform to rally 35.6% and head up to the next significant barrier of $38.6.
Is it the Best Time to Buy SOL?
The value of the Solana cryptocurrency has doubled in a short span of a month. Given the upward trajectory of the coin, some may question the advantages of buying at this point. Despite the current market sentiment, such an aggressive rally might not be ideal for a long-term bull run. Therefore, with a bullish breakout from $26.77, it’s likely the altcoin will either pull back or consolidate above the breached resistance to test its support strength. Should this be the case, traders could seize this long-entry opportunity.
Indicators
- Bollinger band: When the SOL prices draw near the upper ceiling of the Bollinger band indicator, it is a clear sign of significant buying momentum.
- Average Directional Index: A robust ADX price that is closing towards the 40% mark suggests an over-extended rally, necessitating a minor correction.
