- Renowned trader expresses strong optimism towards Solana (SOL) cryptocurrency.
- SOL experiences significant breakout, surging by 18.55%.
- If support is not maintained, SOL may decline towards $22.2 in 24-48 hours.
In a recent tweet, a renowned cryptocurrency trader and analyst expressed their strong optimism towards Solana (SOL). In the post, a trader known as Bluntz revealed their inclination towards a significant investment in SOL for the upcoming months.
In the expert’s analysis, the altcoin recently experienced an exceptionally clear and significant “upward channel breakout,” which he considers one of the most impressive in recent weeks. The last time he witnessed such a positive surge was at the beginning of this year when the market leader Bitcoin (BTC) was trading at approximately $18K.
On Thursday, SOL experienced a significant breakout from a bullish price channel, surging by an impressive 18.55%. This remarkable move propelled the altcoin’s price from a low of $21.42 to a high of $26.82, ultimately settling at $26.01 by the end of the day. Notably, this breakthrough also resulted in SOL successfully transforming the resistance level at $25.60 into a supportive level, further solidifying its positive momentum.
During the initial 24-hour period following the transition, the cryptocurrency made a concerted effort to surpass the subsequent significant resistance threshold of $30.00. Despite SOL achieving a peak of $32.13, it failed to establish this level as a solid resistance point and concluded the trading session at $26.67.
As of the current press time, SOL is trading slightly above the mentioned price of $25.60. However, if it fails to maintain this support and closes below it by the end of today’s trading session, there is a possibility that it may experience a decline towards the 200-day EMA line, estimated to be around $22.2, within the next 24-48 hours. It is worth noting that a notable bullish technical flag formation was on the brink of being activated.
As mentioned earlier, the 50-day Exponential Moving Average (EMA) is approaching the 200-day EMA. If the shorter-term technical indicator surpasses the 200-day EMA, it will activate a significant bullish signal. This will indicate that SOL has entered a favorable long-term trend, potentially leading to further price appreciation in the upcoming weeks.
In this optimistic scenario, SOL’s price could retest the $30 resistance level and establish it as a strong support level. The sustained buying pressure could even drive the price of this Ethereum competitor above the next significant resistance at $34.50 within the coming weeks.
Disclaimer: The insights, perspectives, and data presented in this price analysis are published in good faith. Readers must conduct their own research due diligence. Any decision made by the reader is solely their responsibility, and Crypto Outlooks shall not be held responsible for any consequential or incidental harm or loss.
