The Solana price has shed around 9% of its value this week and is now trading in the $142-143 range. This plunge shouldn’t worry SOL holders too much, considering the broader crypto market faced a downturn as well.
For example, Ethereum lost over 9% during the same period, while some major altcoins such as DOGE and XRP are experiencing double-digit plunges.
However, some popular analysts remain bullish on Solana, especially in the long term.
Daan’s Analysis: Higher Lows and Key Resistance Levels
Trader “Daan” recently shared a viral Solana chart that’s caught the attention of many crypto enthusiasts. The daily chart for SOL/USDT on Binance reveals some interesting patterns and potential breakout scenarios.
One of the most notable features is the formation of higher lows, indicating a bullish structure despite the resistance at $160. This suggests that buyers are stepping in at increasingly higher prices, which is a positive sign of strength.
The chart identifies several key levels:
- Weekly resistance around $197-$205
- Three nearly equal highs at $160, forming a significant resistance level
- Weekly support at $115.93
SOL has been consolidating below the $160 resistance, which could suggest accumulation. This tug-of-war between buyers and sellers often precedes a major move. The ascending trendline formed by the higher lows adds to the bullish outlook, as long as the SOL price stays above this line.
The reaction around $160 will be crucial. A break above this level could lead to a rapid move higher due to a potential short squeeze and increased demand from breakout traders. However, if the SOL price fails to breach $160 and reverses, the $115.93 weekly support could serve as a potential bounce zone.
Read also: Ripple Analyst Warns of Critical $0.45 Retest Before XRP’s Major Price Rally
Curb’s Macro View: Bullish Pennant and Long-Term Projections
Another analyst, “Curb,” presents a more optimistic long-term outlook for the Solana price based on macro chart patterns. The analysis focuses on a massive bullish pennant continuation pattern that has been forming over an extended period.
Key features of this chart include:
- A 225+ day re-accumulation phase
- Support level near $122.77
- Resistance just above $170
The pennant pattern suggests that after this long consolidation period, the price could break out upward and continue its prior bullish trend. The extended re-accumulation phase indicates that buyers have been gradually absorbing the supply, potentially building momentum for the next upward move.
Curb’s analysis points to several important price levels to watch:
- $208.53: Yearly resistance
- $169.99: Monthly resistance
- $142.83: Potential retest or consolidation area
- $122.77: Monthly support
The most striking aspect of this analysis is the long-term price projection. If the bullish pennant plays out as anticipated, Curb suggests that the Solana price could potentially reach the $800+ range in the next major bull cycle.
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