Solana‘s digital asset SOL has seen a significant increase followed by a sudden decrease in its market price, transitioning from values above $210 to below $200. Currently, the cryptocurrency has stabilized at approximately $197. Questions remain if SOL can achieve record values from its current position.
Sustained Bullish Trend for Solana?
After breaking through the $195 resistance barrier, Solana’s trading price maintains a position above the 100-day moving average, suggesting upward potential. Analysts speculate that if the uptrend remains unbroken, SOL may surpass the critical $210 threshold and set new records within the year.
Technical analysis using the RSI shows SOL is firmly in the bullish zone, with room for further gains. Similarly, the MACD indicator reflects a positive trend, with all related lines positioned above the zero mark, further endorsing the bullish sentiment.
Potential Setbacks Ahead for SOL?
While the bull and bear power histogram reflects a strong buyer’s market, there is still uncertainty surrounding the persistence of SOL’s upward movement. A failure to break through the $210 resistance could lead to a retraction towards the $162 support level and potentially trigger a broader downtrend.
Fueling Solana’s value is the transactional use of SOL tokens within its network, particularly through meme coins. The coin’s future performance is likely to be influenced by the network’s activity levels. A sustained high usage of the Solana network might very well pave the way for the cryptocurrency to hit new record highs.