Solana (SOL) Ignites New Momentum: Bulls Target Higher Ground
Solana started a fresh leg higher above the $240 resistance. SOL price is back above $2,500 and may rise again above the $262 area.
- SOL price started a new round of gains against the US dollar, breaking above the $240 and $250 levels.
- The price is currently above $250 and the 100 hourly simple moving average.
- There is a break above a key bearish trend line with resistance at $245 on the hourly chart of the SOL/USD pair (data source via Kraken).
- If the bulls break above the $262 area, the pair may start a fresh leg higher.
Solana price rebounds by $250
Solana price formed a base above $225 and started rising sharply, e.g. Bitcoin and Ethereum. SOL managed to break above the $235 and $240 resistance levels.
There was a break above a key bearish trend line with resistance at $245 on the hourly chart of the SOL/USD pair. The pair even cleared the 50% Fibonacci retracement level of the decline from the $272 swing high to $230 low.
Solana is currently trading above $250 and the 100 hourly simple moving average. On the upside, the price faces resistance at the $262 level or near the 76.4% Fib retracement level of the downward move from the $272 swing high to $230 low.
The next major resistance is near $272. The main resistance level is likely to be $280. A successful close above the $280 resistance zone could set the stage for another steady rise. The next key resistance level is $292. Any more gains could push the price towards the $300 level.
SOL drops again?
If SOL fails to break above the $262 resistance, another decline could begin. Initial support on the downside is near the $250 area and the 100 hourly simple moving average.
The first major support level is near $240. A break below the $240 level could push the price towards the $230 area. If the price closes below the $230 support, the price may fall towards the $215 support in the short term.
Technical indicators
Hourly MACD – The MACD for SOL/USD is accelerating in the bullish zone.
Hourly RSI (Relative Strength Index) – The RSI for SOL/USD is above the 50 level.
Major support levels – $250 and $240.
Major resistance levels – $262 and $272.
