Solana saw its price struggling to return to the upside levels last month. Solana previously reached $208 On March 18 thereafter A strong rise in prices extending over a period of five months. However, this crossover above $200 was very brief as Solana fell to $167 before reversing and hitting $203 again on April 1.
Once again, this cross above $200 was also short and Solana has been on a decline ever since. Interestingly, the recent price level has put Solana in a 30% correction over the past six weeks. While this is a tough breakdown, Solana now looks in best shape to resume his uptrend, with indicators now looking to the upside.
Will Solana regain upward momentum?
The Solana parabolic price rally from October 2023 to April 2024 led to an overheated market that had to be corrected. This rally has been mostly exacerbated by the spike in popularity of the Solana meme coins and the general Bitcoin-led bull market greed.
This rally saw Solana briefly overtake BNB in the market cap rankings after completely displacing XRP and ADA. However, as greed turned to caution, Solana began to correct with the rest of the market.
Solana fell to the lows of $120 on May 1st with the bulls defending this price support. According to a cryptocurrency analyst known as Inmortal, this was the last major correction in Solana's price in the current market cycle.
As a result, Solana now finds itself in a minor support range at $140. According to the SOL chart shared by Inmortal on social media, the cryptocurrency is now ready to march to a new all-time high of $320.
Last decline ever$ sol pic.twitter.com/SDfxYCT6EC
– Khaled (@immortalcrypto) May 5, 2024
Immortal is Not the only analyst Expect Solana's upward movement. Analysts Maximilian FX and Orson Foley We also believe Solana Ready to beat the $200 price tag again.
Solana is currently trading at $145. Chart: TradingView
Price levels to watch for Solana's next move
At the time of writing, Solana is trading at $145, down over 30% from its yearly high of $208. After this sharp decline, Solana has established some key price levels to watch during his next big move. The first noticeable price resistance lies at $158.
If Solana can break back above the $160 level, it could signal that the correction is over and the uptrend is resuming. Other resistance levels in the journey to $200 are around $175 and $185. On the other hand, a drop below $140 threatens to move towards the next major support level at $120.
Although the overall cryptocurrency market trend is currently neutral, the environment remains favorable for a recovery in the SOL price.
Featured image from melanciadesign.com, chart from TradingView