Solana (SOL) has recently experienced a notable downturn and struggled to stay above the $32 mark, remaining below a strong resistance level. However, a potential breakthrough could lead to a 20% price appreciation.
In the last 24 hours, SOL saw a modest surge of 2.2%, but its performance on the weekly chart showed minimal upward movement.
Two essential bullish signals, the morning star reversal sign and a bullish pennant formation, indicate the possibility of a rally if SOL surpasses the immediate resistance.
Solana was priced at $24.90 on the one-day chart | Source: SOLUSDT on TradingView
SOL’s market capitalization has declined, suggesting a slight weakening in buying strength. At the time of writing, SOL was valued at $24.90.
The coin attempted to reach $32 but faced resistance from bulls, and now it aims to breach the immediate resistance at $26.
A successful move above $26 could push SOL’s value to $28, with a potential price ceiling at that level. If surpassed, the coin may rally further to reach $30.
On the downside, if SOL fails to hold above $26, it could face a decline to $21, and further below that level, a drop to $18.
Solana registered positive buying strength on the one-day chart | Source: SOLUSDT on TradingView
The market exhibited bullish signals, with the Relative Strength Index (RSI) indicating buyer dominance and the price movement above the 20-Simple Moving Average (SMA) line showing buyer influence.
If the price maintains its position above the 20-SMA, increased demand may drive SOL’s value above the immediate resistance line, leading to further bullish movement.
Solana depicted a sell signal on the one-day chart | Source: SOLUSDT on TradingView
Despite buyer dominance, sell signals appeared on the daily chart, with the Moving Average Convergence Divergence (MACD) forming red signal bars, suggesting a potential slight dip before attempting to breach the $26 mark.
The Chaikin Money Flow (CMF) being below the half-line indicates lower capital inflows than outflows, suggesting a decrease in buying pressure at the moment.
Upcoming trading sessions will be crucial for SOL’s price movement, as the broader market may influence its trajectory.
Important: Please note that this article is only meant to provide information and should not be taken as legal, tax, investment, financial, or any other type of advice.
Join Cryptos Headlines Community
Follow Cryptos Headlines on Google News and Threads App
