SOL wants to fight but broader market bearishness won’t allow Solana price to go solely
- Solana price is bullish, up 25% from the September 10 low of $17.33 with a commitment to more upside potential.
- SOL could rise 10% to breach the 100-day EMA resistance at $24.40 if bullish momentum grows.
- With Bitcoin, Ethereum, and Ripple still struggling, it may be premature for the purported ETH killer to go up solely.
- Invalidation of the bullish outlook will occur upon a three-day candlestick close below the $critical support at $17.80.
Solana (SOL) price is trading with a bullish bias, with CoinMarketCap data showing that it is outperforming Bitcoin (BTC), Ethereum (ETH), and Ripple (XRP), the crypto top three. However, the upside for the purported ETH killer is pending, with a broader market struggle making it hard for SOL to go solely.
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Solana price held back by broader market bearishness
Solana (SOL) price is trading with a bullish bias, recording a surge of almost 5% in the last 24 hours. After a week-long consolidation earlier in the month, the volatility for the altcoin was restored ahead of the Sam Bankman-Fried (SBF) trial, which saw up to $455 million worth of SOL with investors observing the token.
Meanwhile, technical indicators suggest that Solana price is ready to fight for its upside potential, with the Relative Strength Index (RSI) deviating north while holding above the 50 midline. The lagging Awesome Oscillator (AO) is equally positive, green-toned and holding above the zero level.
Increased buying pressure above current levels, steered by buying momentum from the $21.27 buyer congestion level marked by the 50-day Exponential Moving Average (EMA) could see Solana price breach the immediate barricade at $24.40. This roadblock is presented by the 100-day EMA.
If Solana price flips the 100-day EMA into a support floor, the ensuing buying pressure could send SOL to confront the stiff resistance at $26.96 hurdle. In a highly bullish case, the gains could extend to tag the 200-day EMA at $31.24. Such a move would constitute a 40% climb above current levels.
SOL/USDT 3-day chart
Conversely, with early profit taking possibly from the traders that bought SOL during the most recent dip, Solana price could pull south to lose the support offered by the 50-day EMA at $21.27. A move below the critical support of $20.00 would flip the balance in favor of the bears but the bullish outlook would only be invalidated once SOL breaks below the $17.80 support. This marks the last lower high.
The ensuing proceeding selling pressure could send Solana price below the $16.00 psychological level. This would denote a 30% drop below current levels.
Author
Lockridge Okoth
FXStreet
Lockridge is a believer in the transformative power of crypto and the blockchain industry.
