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- SOL is trading around $115 for the first time since 2022.
- The short position liquidation amounted to over $14 million.
Solana has recently experienced a notable change in its price trend, breaking past previous patterns and hitting yearly highs. Is this the start of a sustained upward trend or just a temporary spike?
Solana marches into the $100 price range.
AMBCrypto’s analysis of Solana’s daily price trend shows a consistent upward trend over the past five days. The chart peaked at the $100 price level on December 23rd and showed no signs of letting up at the time of reporting.
From the upward trend on December 20th to press time, SOL has experienced growth of approximately 65%, according to the Price Range Tool. At the time of writing, SOL was trading around $115, reflecting a gain of more than 7%.
Source: TradingView
This is the first time since 2022 that SOL has reached this price level. The strength of the bullish trend is further evidenced by the Relative Strength Index (RSI), which was above 80 at the time of reporting.
This indicates a bullish trend and puts SOL in oversold territory.
Solana tips market cap size
Looking at Santiment’s volume chart, we see that Solana’s volume has increased noticeably over the past few days. Initially exceeding $5 billion, trading volume briefly fell below this threshold but has since rebounded.
Trading volume grew to approximately $4.9 billion by the close of trading on December 23, and surpassed $5.1 billion at the time of this writing.
Source: Santiment
Data from CoinMarketCap also shows an 18% increase in trading volume over the past 24 hours. Moreover, at press time, Solana’s market capitalization exceeded $48.7 billion, cementing its status as the fourth-largest asset class.
Additionally, Solana’s price soared more than 800% following its impressive annual performance.
Rapid increase in liquidation of short-term positions
Despite signs of an imminent change in the price range, some traders have opted to take short positions on Solana. However, data from Coinglass shows that these short positions suffered significant losses during the recent price surge.
AMBCrypto’s analysis shows that on December 23, short-term liquidations amounted to approximately $14.3 million, significantly larger than long-term liquidations, which amounted to approximately $3.7 million.
This is the highest short-term liquidation observed in three months.
Read Solana (SOL) Price Prediction for 2023-24
Additionally, the funding rate appeared more positive, standing at 0.04% at press time. This signaled a growing trend of traders betting on another upward trend in Solana price.
Recent dynamics have highlighted the difficulties faced by those anticipating price declines, as evidenced by the significant losses incurred on short positions.