On September 9, Solana traded around $103, reflecting a marginal dip of 0.3% over the past day but marked a 3.9% increase over the past week. This price activity presents a mixed scenario of potential short-term corrections overshadowed by an overall positive technical setup.
Key Resistance Turns to Support?
According to analyst Inmortal, the daily SOL/USDT chart suggests Solana has broken out of a base formed between the $60 upper band and the $90 high zone. Known for its high transaction capacity, Solana’s journey is closely watched as it navigates through this critical phase.
Retaining the old resistance zone between $98 and $100 as support is crucial for further gains. — Inmortal
In August, Solana experienced a robust breakout above the $98-$100 range, subsequently entering a phase of consolidation between $100 and $110. This formation is seen as constructive as long as the breakout zone remains intact.
Inmortal anticipates a temporary drop below $100, followed by a rebound, which could steer the price towards $150. Regaining the $100 level could reinforce the view that former resistance has turned into new support.
However, enduring weakness below the breakout zone could invalidate this outlook, with levels at $82 and the upper band of $60 potentially coming into focus.
Short-term Correction Warnings?
The short-term picture poses caution. More Crypto Online speculates that a potential C-wave decline might follow an apparent B-wave peak within Solana’s price movement. Though the analyst indicates this formation remains uncertain without full confirmation.
The $104-$106 range will test the market’s reaction; rejection here could bolster the bearish narrative. — More Crypto Online
Hourly analysis highlights Fibonacci resistance clusters at $103.89, $104.53, $105.18, and $106.11, rendering the $104-$106 zone significant for short-term direction.
If downward pressure prevails, initial support is seen at $98, with more robust support anticipated between $94.83 and $94.39. A deeper decline could test the $91.57-$90.46 range.
Breaking decisively above $106.11 might weaken the short-term downward sequence, refocusing attention towards a broader resistance area around $110.50. This shift might rekindle interest in the bullish breakout seen in the daily chart.
Solana now faces two distinct scenarios. Holding or swiftly reclaiming $100 would support a positive broader structure. Conversely, a rejection between $104 and $106, alongside breaches of nearby supports, could pull prices back to the mid-$90s.
