Solana (SOL) Coin Review: Evaluating Bullish Resilience

Solana (SOL) Analysis

The Solana network, known for its fast transaction confirmations and low fees, recently witnessed a significant drop in TVL due to the departure of institutional investors. This decline was accompanied by a drop in the SOL Coin price, which reached as low as $8. Now, as the popular altcoin shows signs of a revival during the 2023 general market rally, it faces a crucial test.

The psychological support level of $20 has been breached. At the time of writing, the price hovers around $19.5, a level that had previously attracted buyers. However, it remains uncertain whether the SOL Coin bulls can maintain their position amidst continued closures below $26,000 in the BTC price. The daily chart reveals a significant bullish order block area between $18.3 and $19.5.

If demand in this region surges once again, we could witness the SOL Coin price climb to the range of $22 to $22.5. Conversely, in the event of a bearish scenario, sellers might drive the price down to the 23.6% Fib level at $17.4, with additional support levels at $15.6 and $16.65. Meanwhile, the Relative Strength Index (RSI) has hovered below 50 in recent days, indicating a balance between buying and selling pressure.

September SOL Coin Predictions

According to real-time order tracking platform Mobchart, buyers are maintaining their stance in the $18 to $19 range. Notably, significant buy limit orders have been placed at these levels on the Binance Exchange, as indicated by the green lines. Therefore, assuming no negative surprises from BTC, a potential price rebound from this region is plausible. Conversely, a strong sell wall is evident at the $22 level on the 4-hour timeframe.

If BTC can sustain its position above $26,000, the price may target the $20.2 barrier, followed by $22 and $23.75. Beyond that, the $27 level, which has previously faced rejection multiple times, could be tested. Currently, the most critical resistance area for SOL Coin stands at $27, particularly since the FTX crash. To witness a price above $50 once more, the permanent reclamation of this crucial resistance area is imperative.

It’s worth noting that Bitcoin is currently not displaying significant signs of recovery, and the cumulative volume of cryptocurrencies remains weak. The impact of the Glassnode news, which had initially made waves, has faded surprisingly quickly.

Leave a Reply

Your email address will not be published. Required fields are marked *