Solana (SOL) Surges Past $160 Resistance, Analysts Predict Bull Run Ahead
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Solana Breaks Key Resistance, Eyes Uptrend Development
Solana (SOL) recently shattered the $160 resistance level, igniting bullish sentiments among analysts speculating on an upcoming bull run as the month of “Uptober” draws near.
The rally commenced last week following a market surge triggered by US Federal Reserve actions. This momentum propelled SOL’s price above $140, transforming the previously elusive resistance into a firm support level.
After struggling to breach this crucial threshold in the past month, SOL consolidated within the $130-$139 price range, prompting concerns among investors about a potential correction. However, following recent bullish developments, Solana has surged by 23%, surpassing the $150 barrier and setting sights on higher resistance levels.
On Friday, SOL breached the key $160 resistance level for the first time in a month, reaching a daily high of $160.68. The positive price action was seemingly driven by optimistic market sentiments surrounding Binance founder Changpeng Zhao’s early release from prison, leading to a 4% surge in SOL’s value along with Bitcoin’s rise to $66,000.
Is SOL Poised for Exponential Growth?
Crypto analyst Crypto Horn Harris highlighted Solana’s price action on the weekly chart, describing it as “insane” and emphasizing the successful retest of the Relative Strength Index (RSI) and the 50-day Moving Average (MA). This performance indicates the potential for SOL to challenge previous highs above $200 and explore higher price targets in the near future, according to WiseAnalyze.
While setting a target for a breakout towards $400, WiseAnalyze acknowledged the possibility of a pullback to support zones between $108-$120. Similarly, analyst Matthew Dixon predicted a retracement for Solana, citing various indicators suggesting an imminent correction, albeit the extent remains uncertain.
Dixon emphasized that SOL’s price trajectory hinges on the formation of ABC or 123 patterns from the low point, suggesting an imminent retracement regardless. Crypto analyst Byzantine General also observed a potential Adam and Eve double-bottom pattern on SOL’s chart, predicting a breakout towards $200 if the support level is reclaimed.
Featured Image from Unsplash.com, Chart from TradingView.com
In conclusion, Solana’s recent surge past key resistance levels has sparked optimism among analysts, with predictions ranging from continued growth towards $400 to potential retracements to lower support levels. As the cryptocurrency market continues to evolve, investors are advised to stay informed and monitor price movements for potential opportunities.
