Solana (SOL) has seen a significant surge in its price, with it currently heading towards the $200 mark. This uptrend has made SOL more attractive to investors, especially considering the recent dips it experienced.
The SOL price recently broke above the key resistance level at $175, resulting in a nearly 10% increase. If it manages to clear the $188 resistance, the price may continue to rise. Currently, SOL is trading above $180 and the 100-hourly simple moving average. There is also a bullish trend line forming with support at $175 on the hourly chart of SOL/USD.
The recent surge in SOL’s price can be attributed to its support base around the $166 level and its subsequent move into positive territory. Following the upward trend of Bitcoin and Ethereum, SOL was able to surpass the $175 and $180 resistance levels. It even tested the $188 resistance, reaching a high at $188.00.
At present, SOL is consolidating its gains above the 23.6% Fibonacci retracement level of its upward move from the $166 swing low to the $188 high. It is also trading above $188 and the 100-simple moving average on the 4-hour chart.
The immediate resistance is expected to be around the $185 level, followed by the major resistance at $188. A successful close above this level could pave the way for another significant increase, with the next key resistance zone around $195. Further gains could push the price towards the $200 level.
However, if SOL fails to rally above the $188 resistance, a downside correction may occur. Initial support is anticipated near the $182 level, followed by the major support at $178 and the bullish trend line. The 50% Fibonacci retracement level of the upward move from the $166 swing low to the $188 high also coincides with the $178 support level. If the price drops below $175, it could potentially decline towards the $166 support level.
In terms of technical indicators, the hourly MACD for SOL/USD indicates a bullish trend gaining pace, while the hourly RSI is above the 50 level, suggesting a positive sentiment.
Key support levels for SOL are identified at $158 and $152, while major resistance levels are seen at $165, $172, and $180.