|

Here’s a recap of the successful trades we forecasted for Solana price this week

  • Solana price rallied 19% since our bullish forecast.
  • Solana price set profitable opportunities for both the bears and bulls this week.
  • Invalidation of the macro downtrend thesis remains at $50.50.

Solana price has been a very enjoyable chart to trade, however partaking in additional moves is ill-advised until further evidence can depict a safe entry.

Solana price needs breathing room 

Solana price currently trades at $42.70. It was mentioned in the last thesis to continue maintaining a short term bullish bias as the Solana price targeted liquidity levels in the $47 region. This set up a 4-1 short squeeze trade opportunity.  The bears were likely eyeing for a short position due to the breach of the ascending trend channel. Solana price managed to rally 19%, forcing a bearish capitulation into the anticipated $47 zone.

tm/sol/7/20/22

SOL/USD 15 Min Chart: Long Setup


Solana price then set up a very impressive 9-1 Kamikaze short within the $47 region. More conventional traders may have chosen a classical rejection-retest-and-fall setup which still provided a 2-1 reward-to-risk ratio. 

tm/short/7/20/22

SOL/USDT 15 Min Chart: Short Setup


Traders should now allow the SOL price some breathing room. Look for other opportunities in the market and allow the next move to develop. Remember that the overall downtrend is still intact until $50.50 is breached. If the bulls can hurdle the invalidation level, they may be able to induce a rally towards $75. This will result in an additional 50% increase from the current Solana price.

tm/sol/7/20/22 12

In the following video, our analysts deep dive into the price action of Solana, analyzing key levels in the market. -FXStreet Team

Author

Tony M.

Tony M.

FXStreet Contributor

Tony Montpeirous began investing in cryptocurrencies in 2017. His trading style incorporates Elliot Wave, Auction Market Theory, Fibonacci and price action as the cornerstone of his technical analysis.

More from Tony M.
Share:

Editor's Picks

Has Bitcoin really escaped the macro forces it was built to fight?

Over 17 years ago, Satoshi Nakamoto designed Bitcoin on the back of a global financial crisis as an alternative to the global monetary system outside the control of central banks, governments and traditional intermediaries. This raises a key question: has Bitcoin really become independent of the macroeconomic forces it was built to challenge?

Ethereum activates Glamsterdam on Sepolia testnet: Why the price is falling anyway

Ethereum (ETH) has reached a key milestone in its next major network upgrade. The planned changes aim to improve Ethereum’s Layer 1 capacity and efficiency as network activity grows. The development comes as ETH retreats toward $2,500.

Bitcoin Weekly Forecast: Uptober or Rektober?

Bitcoin (BTC) price is down over 4% so far this week, trading below $83,000 at the time of writing on Friday as mounting selling pressure threatens to derail the seasonal “Uptober” rally. Profit-taking, a surge in long liquidations and weakening demand from institutional investors are weighing on BTC.

Ripple bulls gather recovery momentum amid returning ETF inflows

Ripple (XRP) trades largely in bearish hands on Friday near $1.40. Although the remittance token has stabilized after a sharp sell-off from weekly highs of $1.53 to lows around $1.32, the path of least resistance remains downward, unless buyers affirm a daily close above the pivotal $1.40 level.

Bitcoin: Uptober or Rektober?
Bitcoin (BTC) price is down over 4% so far this week, trading below $83,000 at the time of writing on Friday as mounting selling pressure threatens to derail the seasonal “Uptober” rally. Profit-taking, a surge in long liquidations and weakening demand from institutional investors are weighing on BTC.