Solana is up more than 10% and is trending above $105. SOL price appears to be preparing for an upward reversal above the $125 resistance zone.
- SOL price started a new bounce above the $100 resistance level against the US dollar.
- The price is currently trading above $105 and the 100 simple moving average (4-hours).
- On the 4-hours chart of the SOL/USD pair (data source from Kraken), a breakout occurred above the main contraction triangle with resistance near $104.
- If there is a clear move above the $118 resistance, the pair may continue to rise.
Solana price begins a new rebound
After a downward correction, Solana found support near the $93.50 level. SOL formed a base and recently broke above the $100 resistance level to start a new rally.
It is up more than 10% today, outperforming Bitcoin and Ethereum. There was a move above the 50% Fib retracement level with a downward move from the $126.13 swing high to the $93.50 low. Moreover, on the 4-hours chart of the SOL/USD pair, it has crossed a major contraction triangle with resistance near $104.
SOL is currently trading above $105 and the 100 simple moving average (4-hours). On the other hand, immediate resistance is close to the $114 level. The first major resistance is near the $118 level or the 76.4% Fib retracement level of the downward move from the $126.13 swing high to the $93.50 low.
Source: SOLUSD on TradingView.com
Key resistance is currently near $125. A successful close of the $125 resistance could set the pace for another major rally. The next major resistance is near $138. Any more profits could push the price higher to the $145 level.
Another decline in SOL?
If SOL fails to rebound above the $118 resistance, a downward correction could begin. Initial support for the downside is near the $108 level.
The first major support is near the $100 level or the 100 simple moving average (4-hours), below which the price may test $94. If the price closes below the $94 support, the price may decline towards the $80 support in the near term.
technical indicators
4-Hour MACD – The MACD for SOL/USD is pacing in bullish territory.
4-Hour RSI (Relative Strength Index) – The RSI for SOL/USD is above the 50 level.
Key support levels – $108 and $100.
Key resistance levels – $118, $125, $138.
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