Why the Solana price trajectory is still uncertain
- Solana price mimics sideways price action that led to its 80% decline in April 2022.
- Solana price shows increased seller transactions on the volume profile.
- Invalidation of the macro mid-term downtrend is a breach above $59.31.
Solana price, from a fundamental standpoint, shows promise. However, defining a market bottom will be exceptionally difficult.
Solana price has ways to go
Solana price currently trades at 36.76 as the bulls have produced a 17% rally since this week's low at $31.82. Despite the optimism, the rally still stands within a congestion zone that began near the end of May.
Solana price shows increased seller's action on Volume Profile Indicator. Being an early buyer is risky as the bearish scenario still targets $10. Intraday traders should consider looking for better opportunities in the market as the coilingness of the SOL price will bring forth erratic and unpredictable movements.
SOL/USDT 6-Hour Chart
The safest validation of the uptrend is a breach above $59.31. If the bulls cab conquer this level, they may be able to rally as high as $120, resulting in a 190% increase from the current Solana price.
Author
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.
