Solana is gaining bullish momentum above 0. SOL price is surging, and the bulls could soon aim for a move above the 0 level.
- SOL price started a fresh increase from the .00 support against the US Dollar.
- The price is now trading above 5 and the 100 simple moving average (4 hours).
- There is a key bullish trend line forming with support at 9.20 on the 4-hour chart of the SOL/USD pair (data source from Kraken).
- The pair could continue to rally if it clears the 5 and 8 resistance levels.
Solana Price Starts Fresh Rally
Solana price formed a base above the .00 support zone and recently started a fresh increase. There was a decent increase above the and 0 levels.
The price is up nearly 10% and there was a move above the 0 level, outperforming Bitcoin and Ethereum. The bulls pushed the price close to 5. A high is formed near 4.98 and the price is showing no signs of upside exhaustion.
It is holding gains above the 23.6% Fib retracement level of the recent wave from the 3.38 swing low to the 4.98 high. Solana is now trading above 0 and the 100 simple moving average (4 hours).
There is also a key bullish trend line forming with support at 9.20 on the 4-hour chart of the SOL/USD pair. The trend line is near the 50% Fib retracement level of the recent wave from the 3.38 swing low to the 4.98 high.
Source: SOLUSD on TradingView.com
Immediate resistance is near the 5 level. The next major resistance is near the 8 level. A successful close above the 8 resistance could set the pace for another major increase. The next key resistance is near 5. Any more gains might send the price toward the 2 level.
Are Dips Supported in SOL?
If SOL fails to rally above the 5 resistance, it could start a downside correction. Initial support on the downside is near the 2.20 level.
The first major support is near the 9.20 level and the trend line, below which the price could test 5. If there is a close below the 5 support, the price could decline toward the 0 support in the near term.
Technical Indicators
4-Hours MACD – The MACD for SOL/USD is gaining pace in the bullish zone.
4-Hours RSI (Relative Strength Index) – The RSI for SOL/USD is above the 50 level.
Major Support Levels – 2.20, and 9.20.
Major Resistance Levels – 5, 8, and 5.