Solana has begun a new upward trend, surpassing the $135 mark. The price is now stabilizing above $135 and could target further gains beyond $140. Trading above both $135 and the 100-hourly simple moving average, SOL shows a contracting triangle pattern with support at $138 on the hourly chart. A break above the $140 resistance could lead to additional gains.
After establishing a base above $130, similar to Bitcoin and Ethereum, Solana saw a steady rise, breaking past $135 and briefly exceeding $140. The price reached above $142 before experiencing some volatility, dipping below the 50% Fibonacci retracement level of the recent move from $136 to $141. Currently, SOL is holding above $138 and the 100-hourly moving average, with the triangle pattern providing support at that level.
Resistance is now near $140, followed by $142 and a key level at $145. A sustained close above $145 could pave the way for further gains toward $150, and potentially $155.
On the downside, if SOL fails to overcome the $142 resistance, it may see a pullback. Initial support lies around $138, aligned with the trend line and the 76.4% Fibonacci retracement level. The next major support is at $136, and a break below that could lead to a test of $130. A close under $130 might bring the price down toward $120.
Technical Indicators
– Hourly MACD: Losing momentum in bullish territory.
– Hourly RSI: Above 50, indicating positive momentum.
– Major Support Levels: $138 and $136.
– Major Resistance Levels: $140 and $142.
Frequently Asked Questions
FAQs Solana Maintains Support After Rally Putting Bullish Sentiment to the Test
BeginnerLevel Questions
1 What does it mean that Solana maintains support after a rally
It means that after a significant price increase SOLs price has stopped falling and is holding steady at a specific price level This level acts like a floor suggesting buyers are stepping in to prevent further decline which is a key test of the markets confidence
2 What is bullish sentiment and how is it being tested
Bullish sentiment is the overall optimistic belief among investors that the price of an asset will continue to rise Its being tested because after a big rally prices often pull back If the price holds its support level instead of crashing it proves the bullish sentiment is strong and resilient If it breaks down the optimism was likely temporary
3 Why is maintaining support after a rally important
Its important because it shows whether a price increase was sustainable or just a shortlived pump Holding support suggests the rally was based on genuine buying interest and strong fundamentals making further growth more likely Breaking support often signals the rally is over and a deeper correction may come
4 Im new to crypto What is Solana
Solana is a blockchain network designed to be very fast and cheap for processing transactions and running decentralized applications and smart contracts Its native cryptocurrency SOL is used to pay for transaction fees and for staking to help secure the network
Advanced Practical Questions
5 What are common technical indicators traders watch to confirm this support
Traders often watch
Key Moving Averages Like the 50day or 200day moving average which can act as dynamic support
Previous Resistance Turned Support A price level that was once a ceiling and is now acting as a floor
Volume High trading volume on the bounce off the support level confirms strong buyer interest
OnChain Data Large concentrations of buy orders on exchange order books at a specific price
6 What could cause Solana to lose this support and reverse bullish sentiment
Several factors could cause a breakdown