Solana ‘Must Break Descending Resistance’ To Regain Bullish Momentum – Analyst

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As a seasoned analyst with years of market observation under my belt, I find Solana’s current situation intriguing. The altcoin has shown remarkable resilience, holding above critical support levels that were once resistance. This is a pivotal moment for Solana, and its next move could significantly impact the near-term trajectory.

currently, Solana’s trading price is above a significant support point of approximately $157, hinting at a possible rebound following a recent downtrend. This crucial support level has remained steady even amid market turbulence, leading investors to closely watch Solana as it strives to regain its bullish momentum.

This coming week could see increased volatility within the cryptocurrency market as we approach the U.S. election and the upcoming decision by the Federal Reserve on interest rates.

According to renowned analyst and investor Carl Runefelt, Solana needs to surpass a significant barrier in the near future to reestablish a robust upward momentum. This barrier, which has held back the price so far, could potentially trigger renewed enthusiasm among SOL investors if breached, implying an optimistic outlook.

Yet, there’s still a potential for more declines if Solana doesn’t manage to surpass this crucial resistance level. The upcoming economic events have everyone on edge, and whether Solana breaks this resistance or not will be closely monitored. Such a move could suggest an imminent upward trend in the coming days.

Solana Trading Within Bullish Pattern 

In this market phase, Solana has been particularly impressive, demonstrating strength by staying above a vital support point that once functioned as a barrier of resistance. This critical juncture might shape Solana’s short-term direction as it fights to regain its bullish trend.

As per renowned analyst Carl Runefelt’s analysis, Solana is about to undergo a significant test at a resistance level that has historically limited its growth. According to Runefelt’s technical assessment on the 2-hour Solana chart, this resistance can be found roughly around the $164 price point.

He proposes that if Solana breaks out at this level, it could push Solana up further, indicating a resumption of bullish price trends.

This week could see volatile price fluctuations due to the upcoming U.S. election and the Federal Reserve’s interest rate decision. Such events may lead to a climate of unpredictability and manipulation in the market, which could have a substantial effect on Solana’s trajectory. As a result, the successful breach of resistance becomes even more crucial, given its potential impact.

Should Solana surpass $164 and maintain higher ground, it might spark optimistic feelings among traders, potentially driving the cryptocurrency towards fresh record highs in its current market. Conversely, failing to do so could result in a surge of sell orders and a potential downturn, especially if overall market volatility escalates. Therefore, the coming days will be significant for Solana’s future trajectory as traders and investors keenly watch this critical price point.

SOL Price Action: Key Levels To Watch

Currently, the price of Solana (SOL) stands at approximately $161, having rebounded from recent lows set around $155. This rally has created a robust foundation for potential support near the $155 level, which has played a significant role in preventing any significant additional drops.

To ignite a positive trend, Solana (SOL) must first surpass the current resistance at $165. If it does, this move will serve as a confirmation of potential price increases in the future. Persistent movement above $165 might indicate strong market sentiment and motivate more buyers, potentially leading to additional growth.

If SOL doesn’t manage to surpass its crucial threshold, it might experience a pullback instead. This could cause the price to dip towards a possible support area around $150. Interestingly, this region overlaps with the 200-day moving average (MA), a significant technical indicator that frequently functions as a robust support level. Therefore, the $150 zone is suggested as a potential lower limit.

During this crucial stage, Solana (SOL) finds itself at a significant crossroads, as its future trajectory largely hinges on whether it can surpass the resistance at $165. As investors closely monitor the situation, this technical setup implies that SOL’s impending move could decisively shape its short-term pattern. If the bullish scenario fails to unfold, the $150 level may serve as a potential safety net.

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2024-11-05 17:46