Solana price halts near $115: Do predictions see a pullback?
Journalist
Posted:
- SOL confirmed no robust indicators of exhaustion on the upper timeframe charts
- There have been enticing pockets of liquidity across the $100 mark that Solana may retest
Solana [SOL] continued to rally through the festive season, giving holders a further cause to have fun. Measured from the low on the nineteenth of December at $71.78, SOL has gained simply over 57% in underneath six days.
AMBCrypto famous in an earlier evaluation that the $96.45 resistance can be a great place to guide income, and that $103-$106 may function resistance.
SOL bulls have blown these expectations out of the water previously week by driving a rally to $115.
The psychological $100 might be necessary once more
Supply: SOL/USDT on TradingView
The 200% Fibonacci extension stage was examined as resistance previously 24 hours. It was unclear if SOL can be pressured to drag again from right here.
The RSI on the 12-hour chart is at 81 however has not shaped a bearish divergence on the 12-hour or one-day timeframes but.
However, the 4-hour charts noticed such a divergence develop previously 24 hours, but it surely doesn’t assure a bearish reversal within the subsequent few days.
Because the development of SOL was firmly bullish, consumers can look forward to a dip earlier than coming into lengthy positions. The OBV was additionally trending upward to point consumers have been in management.
The $96 area, marked in cyan, served as a decrease timeframe consolidation zone on the twenty third of December. It was additionally near the $100 psychological stage. Therefore, a dip into this space earlier than a continuation of the rally was a chance.
The bulls might be overextended
Supply: Hyblock
Previously 48 hours, SOL has shaped a short-term vary that prolonged from $109 to $116.8. Throughout this time, the Cumulative Liq Ranges Delta was extraordinarily excessive.
The inference is that bulls anticipated extra features and a majority of the market was in lengthy positions.
This meant that triggering their liquidations throughout a value dip may present SOL with loads of liquidity to energy its subsequent transfer upward.
AMBCrypto’s evaluation advised that the $103-$106 space was necessary, on each the technical chart and from the Liq Ranges perspective.
Learn Solana’s [SOL] Worth Prediction 2023-24
It has a number of lengthy positions whose liquidations are estimated to quantity to $60M or extra. Equally, the $97-$100 was additionally estimated to have a number of $20M+ liquidation ranges.
Therefore, a dip into these areas, whereas not assured, may present a shopping for alternative.
Disclaimer: The data introduced doesn’t represent monetary, funding, buying and selling, or different varieties of recommendation and is solely the author’s opinion.
