|

Why Solana price can rally to $120

  • Solana price has broken and closed above critical resistance zones.
  • The $100 value area continues to vex bulls as SOL finds it difficult to maintain any close above it.
  • A small pullback over the weekend may be necessary to generate further momentum higher.

Solana price has made very strong moves over the past two weeks, increasing over 33% from last Monday’s open. However, profit-taking and pullbacks are a normal part of any trend and should be expected.

Solana price to retest the $92 value area before beginning its next run past $100

Just two weeks ago, Solana price was up against the strongest cluster of resistance on its chart – and one of the strongest clusters of resistance out of any top ten market cap cryptocurrency. The levels that Solana price had to surpass were:

1.       The Tenkan-Sen.

2.       The Kijun-Sen.

3.       The bottom of the linear regression channel.

4.       The bottom of the Ichimoku Cloud (Senkou Span A).

5.       2022 Volume Point Of Control.

6.       50% Fibonacci retracement.

Bulls successfully pushed Solana price above and closed above those levels. Thankfully, for bulls, most of those prior resistance zones have created a substantial price range of support, specifically at the $92 area where the Kijun-Sen, Tenkan-Sen, Senkou Span A, and the 50% Fibonacci retracement. So the pullback here shouldn’t be viewed as a sign of weakness but a possible sign of strength.

SOL/USDT Daily Ichimoku Kinko Hyo Chart

If Solana price bulls want to prove that the breakout was valid and authentic, a return to the breakout zone is essential in establishing an honest breakout. If not, bears will return to the 2022 lows near $75. If support is found near $92, SOL’s next resistance zone doesn’t show until $110. 

Author

Jonathan Morgan

Jonathan Morgan

Independent Analyst

Jonathan has been working as an Independent future, forex, and cryptocurrency trader and analyst for 8 years. He also has been writing for the past 5 years.

More from Jonathan Morgan
Share:

Editor's Picks

Pi Network Price Forecast: PI extends gains against a bearish market backdrop

Pi Network continues to attract some buyers on Wednesday after an over 8% rebound the previous day. PI token sustains above $0.070 as the price extends its rebound after reaching an oversold level, decoupling from the broader market correction. Technically, Pi Network must break above the overhead trendline near $0.0740 to resume an upward trend.

Dogecoin Price Forecast: DOGE slips to a new yearly low

Dogecoin recovers mildly, trading around $0.068 on Wednesday after hitting a new yearly low the previous day. Santiment data shows whale wallets offloading DOGE holdings, fueling near-term selling pressure. Meanwhile, weakening on-chain metrics and bearish technical indicators suggest that the meme coin could face further downside risks.

Zcash Price Forecast: ZEC tests $1,000 support as hot US CPI data offsets Grayscale’s marketing

Zcash is down to almost $1,000 on Wednesday, facing intense selling pressure over the last five days, with losses totaling over 20%. The hotter-than-expected US monthly inflation data offset the Grayscale’s Zcash-focused marketing campaign and the sponsor fees contribution to the network.

Crypto Today: Bitcoin, Ethereum, XRP extend decline with US CPI in focus

Cryptocurrency prices face increasing selling pressure on Tuesday, with Bitcoin (BTC) trading below $75,000, Ethereum (ETH) edging lower toward $2,100, and Ripple (XRP) hovering beneath the immediate $1.10 cap.

Bitcoin: Bears tighten grip as BTC eyes fifth weekly loss
Bitcoin (BTC) remains under pressure, down over 3% this week, trading near $75,500 on Friday and heading for its fifth straight weekly loss. Persistent outflows from US-listed BTC spot Exchange Traded Funds (ETFs), a sharp sell-off in US technology stocks, and rising market liquidations are weighing on sentiment and limiting Crypto King’s recovery attempts.