Solana (SOL) is testing a new resistance for an increase

Solana is up by 0.23% in the last 24 hours, as of the time of writing this article. That brings the token value to $165.44, which is also an increase of 0.04% in the last 7 days. SOL has a bearish short-term sentiment, pretty much like Bitcoin (BTC) and Ethereum (ETH). It was earlier predicted to test the resistance of $166; falling below that value would attract more declines. SOL has done that, and now it is only safe to assume that SOL could drop a little more, probably to $160.

An alternative theory is that SOL will test a lower resistance only to rebound and fetch better returns. That is, of course, only a theory, not a concrete explanation or prediction for the upcoming event. Also, there is speculation around crypto ETFs making the rounds and affecting the values of tokens like ETH, SOL, and XRP.

The next early resistance for SOL is the 61.8% FIb Retracement level, roughly translating to $168. That would pave the way for an uptick to $170 and then a surge to $180.

SOL is predicted to surpass the milestone of $200 by the end of this year, that is 2024 as per our Solana price prediction. That is likely; for the next 30 days could see Solana jump as high as $191.54 for 15.26% growth. However, it is crucial to first reach and test $166.82, then $168. Overall sentiments are neutral, and short-term sentiments are bearish. The hourly MACD, indicating a decline in pace, supports the latter.

The 14-day RSI is 52.61, with a volatility of 7.36%. The 50-day SMA and 200-day SMA are $153.48 and $121.38, respectively. The Fear & Greed Index shows 73 points under Greed despite 40% green days in the last month. This comes to 12 out of 30 green days.

It is possible that SOL’s predicted value is overoptimistic, based on the assumption that SOL ETF will eventually make its way into the market. The market cap and 24-hour trading volume of Solana are up by 0.25% and 67.70%, respectively, at press time.

That said, the Solana ecosystem is banking on the growth in Sealana (SEAL) and Solama (SOLAMA). SEAL has hit the pre-sale mark of $3 million, while SOLAMA is riding a surge of 55%. Solana-based meme coins are gaining momentum in the meme coin segment.

Another massive development for Solana happened four days ago, when PayPal launched PYUSD, a stablecoin, on the network.

Simply put, the token is struggling primarily due to the focus on ETFs, which may or may not materialize. Other developments could enter mainstream reports to boost the chances of SOL for a rebound. SOL is expected to be valued at $200 by the end of this year. It could inch higher than that milestone, depending on how factors fall into place.

Trevor Holman

Trevor Holman follows crypto industry since 2011. He joined CryptoNewsZ as a news writer and he provides technical analysis pieces and current market data. He is also an avid trader. In his free time, he loves to explore unexplored places.

Related Articles

Back to top button
bitcoin
Bitcoin (BTC) $ 64,262.22
ethereum
Ethereum (ETH) $ 3,499.89
tether
Tether (USDT) $ 0.999894
bnb
BNB (BNB) $ 586.14
solana
Solana (SOL) $ 134.17
xrp
XRP (XRP) $ 0.486635
dogecoin
Dogecoin (DOGE) $ 0.124323
cardano
Cardano (ADA) $ 0.385618