Solana is gaining bullish momentum above 0. SOL price is still showing positive signs, and it could even surpass the 0 resistance in the near term.
- SOL price gained bullish momentum and cleared the 0 resistance against the US Dollar.
- The price is now trading above 0 and the 100 simple moving average (4 hours).
- There is a connecting bullish trend line forming with support at 5 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 2 resistance levels.
Solana Price Extends Rally
Solana price remained strong above the 0 level and extended its rally. There was a decent increase above the 5 and 0 levels.
The price is up nearly 20% and there was a move above the 0 level, outperforming Bitcoin and Ethereum. A new multi-month high was formed near 4, and the price is now consolidating gains. It is stable above the 23.6% Fib retracement level of the upward move from the 2 swing low to the 4 high.
There is also a connecting bullish trend line forming with support at 5 on the 4-hour chart of the SOL/USD pair. Solana is now trading above 0 and the 100 simple moving average (4 hours).
Source: SOLUSD on TradingView.com
Immediate resistance is near the 5 level. The next major resistance is near the 2 level. A successful close above the 2 resistance could set the pace for another major increase. The next key resistance is near 0. 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 5 level and the trend line.
The first major support is near the 5 level or the 50% Fib retracement level of the upward move from the 2 swing low to the 4 high, below which the price could test 5. If there is a close below the 5 support, the price could decline toward the 0 support or the 100 simple moving average (4 hours) 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 – , and 5.
Major Resistance Levels – 5, 2, and 0.