• Solana price breaks out above major bullish reversal pattern.
  • SOL continues to face a difficult road higher due to large resistance clusters. 
  • Downside risks are decreasing every day. 

Solana price action continues to vex bulls and bears alike, but bears are getting the brunt of the pain this time. Despite ample opportunity and multiple textbook short setups, bears are unable or unwilling to press Solana lower. Instead, SOL has created conditions that may start a new uptrend. 

Solana price must stay above $87 to remain bullish

Solana price completed its most bullish move in over six months. That move occurred on Saturday when SOL closed above the upper trendline of the falling wedge, the lower trendline of a prior bull flag, the Tenkan-Sen, and it just eeked out a close above the 61.8% Fibonacci retracement at $76. 

However, sellers took control on Sunday pushed Solana price below the Saturday open and low - but could not close below the falling wedge’s upper trendline. Instead, SOL bounce. Further attempts to push Solana back into the falling wedge on Monday were likewise thwarted. 

If Solana price can close the Monday candlestick above $87, that may be enough confirmation for some sidelined buyers to step in. 

A new long opportunity now exists for Solana price based on a successful daily close that returns above the Kijun-Sen, lower bull flag trendline, and the 61.8% Fibonacci retracement. The hypothetical long setup is a buy stop order at $92.30, a stop loss at $88, and a profit target at $120. In addition, a $5 to $10 trailing stop would help protect any implied profit made post entry. 

SOL/USDT Daily Ichimoku Kinko Hyo Chart

The long idea is invalidated of Solana price returns to $85. However, if SOL does return below the falling wedge, then a retest of the 2022 lows near $75 is very probable.

 


Note: All information on this page is subject to change. The use of this website constitutes acceptance of our user agreement. Please read our privacy policy and legal disclaimer. Opinions expressed at FXstreet.com are those of the individual authors and do not necessarily represent the opinion of FXstreet.com or its management. Risk Disclosure: Trading foreign exchange on margin carries a high level of risk, and may not be suitable for all investors. The high degree of leverage can work against you as well as for you. Before deciding to invest in foreign exchange you should carefully consider your investment objectives, level of experience, and risk appetite. The possibility exists that you could sustain a loss of some or all of your initial investment and therefore you should not invest money that you cannot afford to lose. You should be aware of all the risks associated with foreign exchange trading, and seek advice from an independent financial advisor if you have any doubts.

Join Telegram

Recommended content


Recommended Content

Editors’ Picks

SEC doubles down on TRON's Justin Sun lawsuit dismissing claims over jurisdiction

SEC doubles down on TRON's Justin Sun lawsuit dismissing claims over jurisdiction

The SEC says it has jurisdiction to bring Justin Sun to court as he traveled extensively to the US. Sun asked to dismiss the suit, arguing that the SEC was targeting actions taken outside the US.

More TRON News

XRP fails to break past $0.50, posting 20% weekly losses

XRP fails to break past $0.50, posting 20% weekly losses

XRP trades range-bound below $0.50 for a sixth consecutive day, accumulating 20% losses in the last seven days. Ripple is expected to file its response to the SEC’s remedies-related opening brief by April 22. 

More Ripple News

ImmutableX extends recovery despite $69 million IMX token unlock

ImmutableX extends recovery despite $69 million IMX token unlock

ImmutableX unlocked 34.19 million IMX tokens worth over $69 million early on Friday. IMX circulating supply increased over 2% following the unlock. The Layer 2 blockchain token’s price added nearly 3% to its value on April 19. 

More Cryptocurrencies News

Bitcoin Weekly Forecast: BTC post-halving rally could be partially priced in Premium

Bitcoin Weekly Forecast: BTC post-halving rally could be partially priced in

Bitcoin price briefly slipped below the $60,000 level for the last three days, attracting buyers in this area as the fourth BTC halving is due in a few hours. Is the halving priced in for Bitcoin? Or will the pioneer crypto note more gains in the coming days? 

More Bitcoin News

Bitcoin: BTC post-halving rally could be partially priced in Premium

Bitcoin: BTC post-halving rally could be partially priced in

Bitcoin (BTC) price briefly slipped below the $60,000 level for the last three days, attracting buyers in this area as the fourth BTC halving is due in a few hours. Is the halving priced in for Bitcoin? Or will the pioneer crypto note more gains in the coming days? 

Read full analysis

BTC

ETH

XRP