The price of Solana is actively attempting to overcome a significant barrier that has been in place for more than a year. Investors could benefit greatly if SOL prices can move past this point.
With a 24-hour trading volume of $303,986,140, the current live price of SOL is $21.16, according to CoinMarketCap. In the previous day, SOL increased by 0.46%, with an active market cap of $8,191,924,151. A total of 387,182,189 SOL coins and the maximum are in circulation. Solana has experienced a change of 112.42% so far this year.
Solana price: set to make a windfall
On the daily chart, the price of Solana has formed an inverted head and shoulders pattern. The central trough is the lowest of the three swing lows. Head refers to the peak, while shoulders refer to the valleys. Therefore, the reversed head-and-shoulders got their moniker. We may see the neckline decreasing resistance by drawing a trendline from the highest point to the lowest.
If the price can close above the neckline, this technical formation will have broken out, signaling a 71.09% increase to $37.21. If you look at the chart below, you’ll see that the target is calculated by adding the distance between the highest point on your right shoulder and the back of your head.
Despite Solana’s price not breaking through the one-year trendline, a surge could be on the horizon if investor confidence in cryptocurrencies increases.
With relatively good momentum, SOL could collect the buy-stop liquidity resting above the equal highs formed at $38.92 if it hits its theoretical target of $37.21. There would be an increase of 80% if they did this.
While altcoins generally have a bright future, a high-impact macroeconomic event that sends stock markets into a tailspin could negatively influence the cryptocurrency industry. If the price of Solana dropped below the $18.68 support level and formed a lower bottom, the bullish case for SOL would be refuted. Such a shift would favor bears greatly and could result in Solana’s price falling to $14.95.
In the coming trading sessions, demand for SOL must rise, or accumulation may suffer. SOL can move beyond its current trading periods if it maintains its position above local support, despite the signs not fully favoring the bulls.
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