Solana (SOL) Back Above $200: Will It Hold or Fade?
Solana started a sharp rise above the $188 resistance. SOL price is back above $200 and may struggle to continue above $205.
- SOL price started a new round of gains against the US dollar, breaking above the $185 and $188 levels.
- The price is currently trading above $195 and the 100 hourly simple moving average.
- There is a bullish trend line forming with support at $196 on the hourly chart of the SOL/USD pair (data source from Kraken).
- If the bulls break above the $205 area, the pair may start a fresh leg higher.
Solana price rebounds by $200
Solana price formed a base above $175 and started rising sharply, e.g. Bitcoin and Ethereum. SOL managed to break above the $180 and $185 resistance levels.
The bulls pushed it above the $188 resistance and then towards $200. The price formed a high at $206 and is now consolidating gains near the 23.6% Fibonacci retracement of the upward move from the $186 swing high to $206 low.
Solana is currently trading above $195 and the 100 hourly simple moving average. There is also a bullish trend line forming with support at $196 on the hourly chart of the SOL/USD pair. On the upside, the price faces resistance near $205.
The next major resistance is near $212. The main resistance is likely to be $220. A successful close above the $220 resistance zone could set the stage for another steady rise. The next key resistance level is $232. In case of further gains, the price may rise towards the $245 level.
SOL drops again?
If SOL fails to break above the $205 resistance, another decline could begin. Initial support on the downside is near the $196 area and trendline. First major support is seen near $190, the 76.4% Fib retracement level of the upward move from the $186 swing high to $206 low.
A break below the $190 level could push the price towards the $185 area. If the price closes below the $185 support, the price may drop towards the $172 support in the near term.
Technical indicators
Hourly MACD – The MACD for SOL/USD is losing speed in the bullish zone.
Hourly RSI (Relative Strength Index) – The RSI for SOL/USD is above the 50 level.
Major support levels – $196 and $190.
Major resistance levels – $205 and $212.
