Analyst Identifies Key Support Levels for Solana Amid Major Unlocks
Crypto analyst Scott Melker highlighted a critical support-resistance setup for Solana (SOL), noting a bounce off the $112 support level. Key points include:
- Bounce off $112 reinforces it as short-term support.
- A double bottom pattern requires a breakout above $147 to be validated.
- Current resistance is around $130, with caution advised before labeling the formation as a double bottom.
Solana Unlock Events
Significant unlocks are taking place, with $200M of SOL unlocking on April 4th, marking the largest single-day unlock until 2028. The implications include:
- Four accounts staked $37.7M in April 2021, now worth 5.5x more.
- Trader NooNe0x sees this as the last large block unlock, indicating potential supply relief.
- Past unlock events show markets often stabilize after initial volatility.
Awawat cautioned that despite recent support, SOL may face challenges below $100, indicating potential weakness in the market. At press time, SOL traded at $115.
