After halting bearishness in late December, Sol bounced back and stayed indecisive for a week. However, it currently looks set for a new wave following a 13% surge since the beginning of the year.
Two weeks ago, SOL tested a low of $176 after correcting by over 30% in a month. The low level held strongly after twice failed attempts to nuke lower, and the price recovered, closing last year well above $180.
The market opened long this new year as the bulls stepped back and the price rose steadily until it touched $223 yesterday. It dropped slightly off this level and now looks stalled at $215 due to low buying volume.
A rise in the buying volume could facilitate more increase until the price recovers fully to the top. As we can see on the daily chart, the market is currently under the bulls’ radar.
Meanwhile, Sol may pull back to the rising support line if it loses grip above the $200 level. A strong rebound from this support line should bring back the buying actions in the form of a double-bottom pattern.
With the positive sentiment surrounding the market lately, we can say the bulls are back in control while several bears look trapped in the correction phase – which has now ended from a technical standpoint.
SOL’s Key Level To Watch
Source: Tradingview
If Sol manages to close above the $234.7 resistance this week, the next target resistance would be $247 and $264, where a major breakout lies. A new high may surface at around $280 and $300 in the near term.
For a drop, the level to watch for a pullback is $202. Below it lies the holding $188 support along with the $176 low, where the price started to recover in late December.
Key Resistance Levels: $223, $234, $247
Key Support Levels: $202, $188, $176
- Spot Price: $214.7
- Trend: Bullish
- Volatility: High
Disclosure: This is not trading or investment advice. Always do your research before buying any cryptocurrency or investing in any services.
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Image Source: jussang/123RF // Image Effects by Colorcinch
