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- Market indicators indicate that SOL’s rally may continue.
- Conversely, BNB may witness a price correction.
According to CoinMarketCapSolana’s value has surged more than 125% in the past seven days, making it one of the highest gainers among the top altcoins.
At the time of this writing, SOL was the 5th largest cryptocurrency, trading at $109.06, with a market capitalization of over $47.6 billion.
Due to the recent upward trend, SOL and Binance Coin (BNB) Market capitalization decreased to 600 million.
If this upward trend continues, SOL could soon surpass BNB as the fourth largest cryptocurrency by market capitalization.
Will Solana upset BNB?
AMBCrypto checked Solana’s daily chart to see whether SOL will maintain its bullish momentum.
In particular, SOL’s MACD suggested that bulls were still leading the market.
Both the Relative Strength Index (RSI) and Chaikin Money Flow (CMF) recorded upward trends, indicating that continued price rises were highly likely.
Source: TradingView
Derivatives market conditions also looked optimistic for Solana.
According to AMBCrypto analysis of Santiment data, SOL’s Binance funding rate was in the green at press time, showing that derivatives investors are actively buying.
Open interest also increased along with the price. Whenever this happens, it means that the current price trend is likely to continue.
Source: Santiment
What is BNB doing?
Since we are discussing the price action of SOL, it is also important to look at the state of BNB to see the broader picture. BNB’s weekly chart was also in the green, but its growth rate was not as high as SOL’s.
According to CoinMarketCap, BNB is up more than 7% over the past seven days. At press time, it had a market capitalization of over $48 billion and was trading at $323.61.
However, it is surprising that despite the price rally, the sentiment surrounding the coin has turned bearish. BNB’s Weighted Sentiment plummeted on February 10, according to data from Santiment.
Source: Santiment
To see if investor lack of confidence in BNB could lead to a price correction, AMBCrypto looked at the daily charts.
The price of BNB touched the upper Bollinger Band limit, suggesting a possible price correction. Another bearish indicator is the Money Flow Index (MFI), which recorded a slight decline.
read Solana (SOL) Price Prediction 2024-25
On the other hand, BNB’s Chaikin Money Flow (CMF) remained strong. So it seemed likely that Solana would overtake BNB.
However, the cryptocurrency market is notorious for its unpredictability, so it will be interesting to see what happens to both tokens in the coming week.
Source: TradingView