Solana, a leading smart contract platform, has recently lost ground, falling below the $100 mark following a Bitcoin price drop. Despite facing numerous setbacks, including a significant drop on January 3rd and the dampening effect of ETF excitement, Solana’s resilience is evident as it recovered from a low of $8, with its Total Value Locked (TVL) surging from $300 million to $1.3 billion.
In July 2023, SOL Coin broke through a declining resistance line, initiating a significant upward movement that continued throughout the year, peaking at $126 in December. However, despite the momentum, SOL Coin experienced a downward trend, marking consecutive weeks of decline for the first time since October 2023, without significant volume in sell-offs.
The community’s patience with sales, coupled with the recovery in TVL and a price holding above $95, suggests that SOL could test the $200 level this year. Solana’s development team announced on January 11th, 2024, that the network now boasts over 2,500 developers, with additional positive developments such as increased market activity and developer retention.
Technical analysis for the year indicates that SOL is in the fourth wave of a five-wave rise that began in June 2023, with a triangular consolidation pattern forming. This triangle’s support trendline has been confirmed, and Solana may consolidate further before potentially breaking out.
The expected breakout from this triangle could lead to a 75% increase in price, reaching $168, or a 30% loss, dropping SOL Coin to $72, depending on the direction of the breakout.