Prepare for a potential surge Keep an eye on Solanas important support and resistance levels
Solana (SOL) is on the verge of making significant moves once it breaks free from its current period of consolidation. In light of this, there are crucial support and resistance levels that investors and traders in Solana should keep a close eye on as they move forward.
A detailed analysis of the SOL/USD daily price chart reveals Solana trading at $159 with no clear trend in sight. This sits just below the 30-day exponential moving average of $162, which serves as another important level to monitor for potential support and resistance indications.
Interestingly, the leading competitor to Ethereum (ETH) has maintained a price range of $138 to $175 over the past two months. These levels act as key support and resistance points for Solana, despite experiencing four deviations—three downward and one upward.
Breaking out of this range amidst a positive sentiment could see SOL reach a high of nearly $210 this year. On the flip side, the lowest price of the first deviation was $117, making it a possible target for a bearish trend.
Furthermore, the relative strength index (RSI) indicates a neutral momentum for Solana’s native token at 47.3 index points.
Renowned cryptocurrency trader and analyst Ali Martinez has identified a triangle formation on Solana’s price chart. Martinez highlights key support at $143 and resistance at $178, suggesting a potential breakout.
Martinez’s bullish stance on a resistance breakout could lead to a 53% surge for SOL, benefiting from the overall positive sentiment favoring altcoins.
In summary, the key support and resistance levels to watch for Solana are $117, $138, $143, $162, $175, $178, and $210. The support levels appear stronger than the resistance, indicating a bullish breakout. It is important to note that cryptocurrencies are highly volatile assets, and indicators may not always be definitive.
Disclaimer: The information provided in this article should not be construed as investment advice. Investing in cryptocurrencies carries inherent risks, and investors should proceed with caution.
