SOL Price Corrects Gains But The Rally Is Far From Over – Here’s Why

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Solana rallied above the $100 and $110 levels. SOL price is now correcting gains, but the bulls might remain active near the $100 level.

  • SOL price started a fresh rally above the $100 resistance against the US Dollar.
  • The price is now trading above $100 and the 100 simple moving average (4 hours).
  • There is a key bullish trend line forming with support near $102 on the 4-hour chart of the SOL/USD pair (data source from Kraken).
  • The pair could start a fresh rally unless there is a close below the $100 support.

Solana Price Remains In Uptrend

In the past few days, Solana saw a major upward move above the $90 and $100 levels, unlike Bitcoin and Ethereum. SOL even rallied above the $120 level.

A new multi-week high was formed near $126.13 and the price is now correcting gains. There was a move below the $115 and $112 levels. The price declined below the 23.6% Fib retracement level of the upward move from the $67.25 swing low to the $126.13 high.

SOL is now trading above $100 and the 100 simple moving average (4 hours). There is also a key bullish trend line forming with support near $102 on the 4-hour chart of the SOL/USD pair.

SOL Price Solana

Source: SOLUSD on TradingView.com

On the upside, immediate resistance is near the $112 level. The first major resistance is near the $120 level. The main resistance is now near $125. A successful close above the $125 resistance could set the pace for another major rally. The next key resistance is near $132. Any more gains might send the price toward the $145 level.

More Losses in SOL?

If SOL fails to rally above the $120 resistance, it could continue to move down. Initial support on the downside is near the $100 level.

The first major support is near the $90 level or the 61.8% Fib retracement level of the upward move from the $67.25 swing low to the $126.13 high, below which the price could test $80. If there is a close below the $80 support, the price could decline toward the $68 support in the near term.

Technical Indicators

4-Hours MACD – The MACD for SOL/USD is losing pace in the bullish zone.

4-Hours RSI (Relative Strength Index) – The RSI for SOL/USD is below the 50 level.

Major Support Levels – $100, and $92.

Major Resistance Levels – $115, $120, and $125.

Source: NewsBTC

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