Solana Holds Weekly Support At $180 – Analyst Expects $330 Mid-Term

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As a seasoned researcher with over a decade of experience in the cryptocurrency market, I find myself intrigued by Solana’s (SOL) current standing amidst the broader market turmoil. After witnessing the 33% correction from its all-time high, it is fascinating to observe Solana demonstrating resilience and offering a promising long-term outlook.

Currently, Solana (SOL) is experiencing a rough patch, having dropped approximately 33% from its peak of $264, which it reached towards the end of November. Yet, even amid this steep decline, Solana shows signs of strength, providing investors with an optimistic long-term perspective.

crypto expert Carl Runefelt recently discussed X, pointing out an attractive technical setup for SOL. Runefelt explains that Solana has passed a crucial test by revisiting a substantial triangle formation on the weekly chart. This significant retest implies that Solana’s price trend is still strong and may act as a starting point for a substantial price increase in the near future.

Even though the broader market is experiencing downturns that have dampened short-term optimism, Solana’s resilience and stability during these times offer a glimmer of optimism for investors (bulls). If Solana (SOL) can hold its current position and gain momentum, it might soon regain lost ground and pave the way for new record highs. Analysts are closely observing how Solana behaves in response to this critical technical signal, as it could shape the altcoin’s direction over the next few weeks.

Solana Holding A Bullish Structure

Even though Solana (SOL) has dropped by 30% from its peak, it still exhibits a bullish pattern on larger timeframes, indicating lasting power. This durability has analysts and investors hopeful that Solana could surpass expectations once the market picks up speed again. Due to its robust foundations and swift adoption, SOL continues to be a desired choice among traders who are looking forward to the next surge in altcoins.

Crypto expert Carl Runefelt recently provided a comprehensive breakdown of X’s technical analysis, emphasizing a promising trend for Solana. According to Runefelt, Solana (SOL) has successfully re-examined a significant triangular structure on the weekly timeframe, which represents an essential achievement for its bullish momentum.

Based on his study, if Solana manages to maintain its position above $180, it might see a significant increase to around $330 over the next few weeks. This prediction is consistent with the belief that Solana could lead the pack during the upcoming widespread crypto market surge.

Nevertheless, the overall market is marked by uncertainty. Bitcoin, the leading figure in this market, has found it challenging to surpass the $100K mark, and pessimism persists among traders, dampening their trust. This prolonged skepticism creates hurdles for altcoins such as Solana, whose growth rallies are often bolstered by a robust performance from Bitcoin.

Testing Crucial Demand

At the moment, Solana is being traded at approximately $185, demonstrating its robustness by managing to maintain above the significant 200-day exponential moving average (EMA) at $175. This notable level frequently serves as a powerful sign of the market’s long-term vitality, and Solana’s capacity to safeguard it suggests a positive outlook for its future value.

On a weekly basis, Solana has been consistently forming higher lows, indicating a favorable trend even amidst current market turbulence. This pattern implies that investors are optimistic about SOL’s future, aggressively purchasing when essential support levels are tested. If the $175 level holds firm, Solana appears poised for a swift rebound in the near term.

Maintaining a position above the 200-day Exponential Moving Average (EMA) is a significant milestone in the process of gathering momentum for a potential larger rise. Financial analysts and investors are keeping a close eye on this mark, as it might open paths for Solana to challenge important resistance levels again and possibly aim for new peaks. Nevertheless, if SOL fails to uphold this vital backing, it may encounter heightened selling activity.

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2024-12-23 17:10