Solana’s Bull Rally and Market Analysis
Solana recently experienced a comfortable bull rally, reaching a peak price of $67 before witnessing a correction. Despite this correction, there are indications that the cryptocurrency could still reach new highs.
If Solana manages to surpass the $59.7 mark, it could potentially kickstart a new bull rally. However, market indicators and metrics currently suggest a bearish trend for the token.
Understanding Solana’s Recent Price Movement
Last week, Solana’s price peaked on November 16 at $67.63, followed by a subsequent drop. Although the token’s value increased by over 3% during the week, it remained below the previously achieved peak.
As of the latest update from CoinMarketCap, SOL is trading at $59.51 with a market capitalization exceeding $25 billion. Despite the recent price drop, SOL managed to surpass a key resistance level, offering potential for new highs.
- Key Resistance Level: $59.73
- Current Price: $59.51
- Market Capitalization: $25 Billion
Crypto analyst Bluntz highlighted on Twitter that if SOL’s price exceeds $59.73, it could initiate a new bull rally. Although SOL briefly crossed this level in the last 24 hours, it fell back below it, prompting further analysis of its daily chart.
Technical Analysis and Market Metrics
According to the Bollinger Bands, SOL’s price remains in a highly volatile zone. The Money Flow Index (MFI) witnessed an uptick from the neutral mark, while the Relative Strength Index (RSI) declined, signaling potential concerns.
Solana’s Bearish Metrics
An analysis of Santiment’s data revealed several bearish metrics for Solana. Social Volume and trading volume decreased, indicating a decline in popularity. Negative sentiment is evident in the drop in Weighted Sentiment, and Price Volatility 1w also decreased, reducing the likelihood of an unprecedented price uptick.
Positive Network Activity Amidst Bearish Metrics
Despite bearish metrics, Solana’s blockchain network activity showed positive signs. According to Artemis’ data, Daily Active Addresses gained upward momentum. This trend is consistent with the increasing number of Daily Transactions over the last 30 days.
