Solana (SOL) Price Prediction: Will It Hold $100?
The price of Solana (SOL) declined after the horizontal resistance area was rejected on February 14.
SOL has traded without any volatility since the end of December 2023, forming a symmetrical triangle pattern.
Solana was distracted but rejected.
Technical analysis of the daily time frame shows that the SOL price has broken out from the descending resistance trend line on January 28, 2024. The upward movement ended on February 14 at $119.
However, the price of SOL was rejected by the $115 horizontal resistance area on February 14 (red icon) and has since fallen. Currently, SOL trades at a little over $100.
The daily timeframe Relative Strength Index (RSI) is weak. Traders use the RSI as a momentum indicator to assess whether the market is overbought or oversold and whether to stock or sell an asset.
Read more: Solana (SOL) Price Prediction 2024/2025/2030
If the RSI reading is above 50 and the trend is up, bulls still have an advantage. But if the reading is below 50, the opposite is true. The indicator below 50 (red circle) and a downward trend, both are considered bearish trend signals.
SOL Price Prediction: Will It Hold the $100 Level?
Sticking to the daily timeframe, the wave count from June suggests that the SOL price is in a five-wave uptrend in wave four.
Technical analysts use the Elliott Wave theory to determine the direction of the trend by studying recurring long-term price patterns and the psychology of investors. If the count is correct, wave four has taken the shape of a symmetrical triangle, the most common pattern for wave four.
Read more: What is Solana (SOL)?
Altcoin Sherpa offers a similar perspective. While still determining the short-term movement, Altcoin Sherpa predicts that the price of SOL will increase significantly in 2024.
A breakout of the SOL from the triangle confirms the initiation of wave five. In that case, SOL can increase by 45% to the next resistance at $145.
Despite this huge SOL price forecast, a breakout from the triangle could lead to a more than 30% decline to the nearest long-term support at $69.
Click here for BeInCrypto's latest crypto market analysis.
Disclaimer
All information on our website is published in good faith and for general information purposes only. Any action taken by the reader on the information found on our website is at their own risk.
