Solana Holds Above $180 as Analysts Predict Potential Surge to $330
Solana (SOL) is currently experiencing a 33% correction from its all-time high of $264, achieved in late November. Despite this decline, Solana shows signs of resilience and a positive long-term outlook.
Crypto analyst Carl Runefelt noted on X that Solana has retested a significant triangle pattern on the weekly timeframe. This retest indicates that Solana's price action remains stable, potentially setting the stage for a substantial rally soon.
Although broader market corrections have affected short-term sentiment, Solana's structural integrity during downturns offers hope for investors. Analysts are monitoring how SOL performs against this technical setup, as it could influence the altcoin's future direction.
Solana Holding A Bullish Structure
Despite a 30% retracement from its peak, Solana maintains a bullish structure on higher timeframes, indicating long-term strength. This stability keeps analysts optimistic about Solana’s potential to outperform when market momentum returns. With strong fundamentals and rapid adoption, SOL continues to attract traders anticipating the next altcoin rally.
Runefelt's analysis suggests that if Solana holds above $180, it could rise to $330 in the coming weeks, positioning it as a leading contender in the next market rally.
However, the broader market faces uncertainty, with Bitcoin struggling to regain the $100K level, affecting overall trader confidence. This uncertainty poses challenges for altcoins like Solana, which often rely on Bitcoin's performance for upward momentum.
Testing Crucial Demand
Currently trading at $185, Solana has successfully held above the 200-day exponential moving average (EMA) at $175. This level serves as a strong indicator of long-term market strength, reinforcing SOL’s bullish potential.
On a weekly basis, Solana continues to form higher lows, indicating a positive trend despite market volatility. This behavior suggests buyer confidence in SOL's long-term prospects, with support levels being actively defended. If the $175 mark remains solid, Solana could quickly recover in the near term.
Maintaining position above the 200-day EMA is essential for building momentum towards a broader rally. Analysts are closely observing this level, as it may lead Solana to retest key resistance points and aim for new highs. Conversely, losing this critical support could result in increased selling pressure.
Featured image from Dall-E, chart from TradingView