- Solana (SOL) is currently trading at the $92 mark.
- The market has seen a liquidation of $5.87 million.
Solana is currently moving within an upward channel, showing a steady structure of higher highs and higher lows. The $95 level acts as a key mid-range resistance within this channel. If it manages to break and hold above this range, it could confirm renewed bullish momentum.
In that case, the price movement of SOL might continue climbing toward the upper boundary of the channel, with $102 as the next likely target. However, failure to break $95 could keep the price consolidating.
The Solana price has faced a mix of upticks, pullbacks, and retests over the last 30-days, with a 14% surge on the chart. Currently, SOL trades at $92.45, with the trading volume having dropped by 20% to $4.4 billion. Consequently, the SOL market has seen a 24-hour liquidation of $5.87 million.
If SOL’s downtrend intensifies and forms a death cross, the price could move deeply down and test the support at around $91.52. A potential drop below this range might trigger the bears, and they would accelerate losses, pushing the price even lower below $90.
On the flip side, assuming Solana bulls take charge, the price might jump to the $93.48 resistance level. Overcoming this trading zone could likely set the stage for the asset’s price to climb above the $94 mark, with the emergence of the golden cross.
Which Direction Will Solana’s Momentum Take Next?
SOL’s Moving Average Convergence Divergence (MACD) is above the signal line, and both are above the zero line. This implies a strong bullish setup, and the trend may have a solid upward trend ahead. The market is moving higher, and dips tend to get bought unless that momentum starts to fade.
Furthermore, the Chaikin Money Flow (CMF) indicator OF Solana at -0.05 points to slight selling pressure. The money is flowing out of the asset, but it is not strong. The buyers are holding back a little, rather than the sellers pushing hard. There is a mild weakness, unless the outflow starts to increase.
The Bull Bear Power (BBP) value of 3.28 shows strong bullish dominance. Buyers are firmly in control, pushing the SOL price above its average with solid strength. Notably, this is not a weak move, but short pullbacks can still happen along the way.
Solana’s ongoing market sentiment is leaning into the bullish zone as the daily Relative Strength Index (RSI) stays at 60.30. The price is moving up with steady momentum. Also, there is enough room for the move to continue, as long as the buying strength holds.
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Source: https://thenewscrypto.com/solana-sol-on-edge-building-strength-or-showing-signs-of-weakness/
