Solana (SOL) could hit the $265 mark, here’s why.
Amidst the ongoing market recovery, Solana (SOL) is poised for a major rally as it has seen significant price action. However, President-elect Donald Trump appears to be prioritizing SOL and XRP as America's first strategic reserve.
These popular developments and updates are getting a lot of attention from crypto enthusiasts, which has resulted in a dramatic increase in prices.
The current price momentum of SOL
Today, January 17, 2025, SOL has experienced an impressive price increase of over 6.5% in the last 24 hours and is currently trading around $212. However, at the same time, the volume of transactions increased by 85 percent due to the significant increase in the participation of traders and investors.
Solana (SOL) price action and key levels
In addition to this advance, Solana (SOL) looks bearish as it has shown price comparisons on the daily time frame. According to professional technical analysis, SOL seems to be forming a bullish double-bottom price action pattern and is ready to break out of the trend line it has been experiencing since November 2024.
SOL price prediction
Based on the recent price action and historical price progress, SOL can easily break this trend, and there is a strong possibility that it will rise by 22% to reach the $265 level in the coming days.
However, SOL's performance has been impressive in the past three days, rising more than 18%. Despite this significant gain, SOL's Relative Strength Index (RSI) is still below the overbought zone, indicating that the asset still has plenty of room to move higher in the coming days.
60 million dollars of SOL's income to the exchanges
As prices continue to rise, some long-term holders appear to be dumping SOL on exchanges, according to on-chain analytics firm CoinGlass. The inflow/outflow data from the spot shows that exchanges have entered SOL worth more than USD 59.15 million.
This measure on the chain indicates that long-term holders are moving their holdings to the exchange, which has the potential to create selling pressure and further price declines.
However, given the current market sentiment, it will not affect the price of SOL. Additionally, a prominent crypto expert shared a post stating that a technical indicator called TD Sequential on X (formerly Twitter) is flashing a buy signal for Solana (SOL).
