Solana has the crowd behind it: Can SOL hit $100?

Journalist

Posted: November 20, 2023

• The environment round Solana continued to be bullish at press time.
• SOL has the potential to succeed in $75 in a couple of weeks, and $100 in a couple of months.

Solana [SOL] has jumped above $60 after the cryptocurrency’s worth elevated by 8.07% within the final 24 hours. However earlier than this latest enhance, SOL took a while off its uptrend. Throughout that part, the token’s value dropped to $56.21.

Nevertheless, the rise in value this weekend has led to renewed confidence in merchants with love for Solana. AMBCrypto arrived at this inference by trying on the Weighted Sentiment. On the nineteenth of November, the Weighted Sentiment hit 1.79 earlier than a slight lower to 1.20.

FOMO might not cease SOL’s dash

The Weighted Sentiment reading was the very best quantity since 2023. This indicated that the broader market is bullish on SOL. Additionally, it was an indication that many market gamers had been having emotions of Worry of Lacking Out (FOMO) on a doable SOL uptrend.

Supply: Santiment

In actual fact, there have been numerous predictions suggesting that SOL might hit $100. There are additionally some who imagine that cryptocurrency will surpass its earlier All-Time Excessive (ATH). Nevertheless, optimistic sentiment alone just isn’t sufficient to drive Solana to new highs.

Whereas it could have carried out properly all yr lengthy, it is very important take a look at its Open Curiosity. Open Curiosity is the worth of excellent open contracts within the spinoff market. The indicator, when it rises, suggests a rise in open positions.

When the Open Curiosity falls, it means liquidity doled out to a cryptocurrency’s contract has decreased. On the time of writing, the Open Interest across the Solana token had elevated to $1.7 billion.

Supply: WorldCoinIndex

Nevertheless, Open Curiosity isn’t just a measure of market participation. It can be an indicator of the potential value motion. Most occasions, when the Open Curiosity will increase alongside the worth, it serves as energy to again the uptrend.

$100 in a couple of months?

On the identical time, the Open Curiosity reducing with an rising value makes the course weak. So, In SOL’s case, there’s a excessive probability that the worth will proceed to tilt north. If that is so, then SOL might hit $70 or $75 inside a couple of weeks.

AMBCrypto analyzed the SOL/USD four-hour chart, utilizing the Exponential Transferring Common (EMA). As of this writing, the 20 EMA (blue) was above the 50 EMA (yellow). This is a sign that SOL’s uptrend might proceed.

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Nevertheless it may additionally rely upon the Relative Energy Index (RSI). The RSI, at press time, was 54.24. If the studying rises greater than that, the SOL’s first cease might be within the $65 area. Within the long-term, each the 50 and 20 EMAs had risen above the 200 EMA (cyan). 

Supply: TradingView

Just like the interpretation above, that is one other bullish signal for SOL. Within the close to future, in all probability a couple of months from now, SOL might attain $100. That’s, if the sentiment across the mission stays on the excessive facet.