SOL / TetherUSLong
SOL Reclaims Support, Will It Break Its Bearish Cycle?
The Solana price is attempting to overcome the upper barrier of a medium-term negative price channel. This is after buyers identified its price drop over the past 24 hours as a buy opportunity. Should SOL escape the channel in the next 8 hours, it may then attempt to overcome the $90 resistance level in the following 12 hours. However, a rejection from the $90 threshold could lead to the Solana price retracing to back within the negative channel. Conversely, a break above $90 could set the altcoin up to attempt another challenge at a major bearish trend line.
SOLUSDT has been trading under this trend line since Dec. 25, 2023. Therefore, overcoming this level may be seen as a major bullish development. This could give SOL the breathing room needed to overcome $100 before potentially rising to as high as $100 in the following couple of days.
This bullish thesis will likely be invalidated if the Solana price falls below $82.35 again within the next 24 hours. In this alternative scenario, the crypto may enter into another strong downwards move towards the $70 support level in the short term.
Technicals Point to a Continued Rise
Technical indicators on SOL’s 4-hour chart suggest a bullish move is more likely to play out in the short term. Both the Relative Strength Index (RSI) and the Moving Average Convergence Divergence (MACD) indicators are flagging bullish.
Buyers have recently gained the upper hand against sellers as evident by the RSI which crossed above its Simple Moving Average (SMA) line in the last 24 hours. The RSI is also still positively sloped, which may indicate that buyers are continuing to gain strength against sellers. In addition to this, the MACD line crossed above the MACD Signal line earlier in today’s trading session. This is a significant bullish technical flag that signals the Solana price may have entered into a short-term positive cycle recently.
SOLUSDT has been trading under this trend line since Dec. 25, 2023. Therefore, overcoming this level may be seen as a major bullish development. This could give SOL the breathing room needed to overcome $100 before potentially rising to as high as $100 in the following couple of days.This bullish thesis will likely be invalidated if the Solana price falls below $82.35 again within the next 24 hours. In this alternative scenario, the crypto may enter into another strong downwards move towards the $70 support level in the short term.
Technicals Point to a Continued Rise
Technical indicators on SOL’s 4-hour chart suggest a bullish move is more likely to play out in the short term. Both the Relative Strength Index (RSI) and the Moving Average Convergence Divergence (MACD) indicators are flagging bullish.
Buyers have recently gained the upper hand against sellers as evident by the RSI which crossed above its Simple Moving Average (SMA) line in the last 24 hours. The RSI is also still positively sloped, which may indicate that buyers are continuing to gain strength against sellers. In addition to this, the MACD line crossed above the MACD Signal line earlier in today’s trading session. This is a significant bullish technical flag that signals the Solana price may have entered into a short-term positive cycle recently.
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.