Solana Surpasses $171 Level as Analysts Set $202 Price Target
Solana is currently trading above the critical $171 level, which has transitioned from a supply zone to a demand zone. This price point is significant for bullish momentum, as maintaining support here could lead to a potential rally in the near future.
Crypto analyst Carl Runefelt provided a technical analysis indicating that Solana's price action remains bullish as long as it stays above this mark. The conversion of former resistance into support suggests increased demand, which may drive further upward movement. Market participants are closely observing these developments, with the next few days deemed crucial for Solana.
If SOL maintains its position above $171, it could instill optimism for an extended uptrend. Any decline below this level could negatively impact the short-term outlook for Solana.
Solana Testing Liquidity
Carl Runefelt highlighted the importance of Solana's head and shoulders pattern in his recent analysis on X. He noted that a successful retest of the neckline would affirm the strength of the bullish trend.
Runefelt's analysis indicates that as long as SOL remains above the neckline, bullish momentum is anticipated, with a target price of $202 in the short term. This potential increase has garnered interest from investors and traders who view the $202 level as attainable if the bullish trend persists. The neckline serves as a critical support level; maintaining it could encourage strong buying interest, while a break below could indicate a shift in momentum.
As the head and shoulders structure develops, Solana's price behavior will be pivotal in the coming days. A successful retest of the neckline could promote continued growth, potentially pushing SOL to new highs.
SOL Price Action
Solana (SOL) is trading at $172, aiming for a higher supply zone. To sustain bullish momentum, SOL bulls must push prices above the key $180 resistance level. A breakout past $180 could trigger significant buying interest due to FOMO (fear of missing out), further driving the price up. This psychological barrier may attract more traders anticipating gains.
However, it is crucial to maintain this bullish trend. If SOL fails to hold above $171, a retracement to lower demand zones may occur, potentially testing previous lows and slowing momentum.
For traders and investors, movements around the $171 and $180 levels are critical indicators. A robust advance past $180 could signal continued strength in Solana’s price action, whereas a drop below $171 would indicate weakness, suggesting a temporary pause or pullback in the rally.
Featured image from Dall-E, chart from TradingView