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Solana analysis – Was that it again with the price recovery?

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Solana recently failed multiple times at the purple cross resistance of Golden Pocket and horizontal resist between $26.25 and $26.95. Since then, the SOL course has corrected by 17 percent to currently $ 22.64. However, the bulls were able to defend the EMA50 (orange) for the time being. Despite the recent network outage, investors appear to be staying loyal to the high-speed blockchain. As long as Solana does not form a new historical low and does not fall below the supertrend at USD 19.63 at the end of the day, the buyer side still has the chance of a new attempt to rise towards the historical high from February.

Course analysis Solana (SOL) 03/01/2023
Course analysis based on the pair of values SOL/USD on Binance

Solana: Bullish price targets for the next few weeks

Bullish price targets: $25.09, 26.34/27.05 USD, 28.04 USD, 30.60 USD, 34.12 USD, 36.87/39.01 USD

The bulls have recently failed to break out several times. After all, a relapse to the last low of 19.63 US dollars could be averted for the time being. If stabilization above US$ 22.03 is successful, the buyer side will first have to recapture the resistance at US$ 25.09.

Then a new increase up to the purple resist area is to be planned. This is where the first relevant target zone runs. A dynamic jump is likely to take the SOL price to $28.04. In addition to the 65 Fibonacci retracement, the EMA200 (blue) in the daily chart also estimates at this price level. A course bounce is likely on the first attempt.

A walkthrough would immediately take Solana to $30.60. If the buying momentum remains and the key cryptocurrency Bitcoin also reaches a new high for the year, the upward movement will initially expand to around 34.12 US dollars.

This would also put the maximum target range within reach for the coming weeks. For now, the orange zone between $36.87 and $39.01 is acting as the maximum upside target for the buyer camp.

Solana: Bearish price targets for the next few weeks

Bearish price targets: $22.03, 20.83/19.63 $17.71/$16.96, 14.94 $13.08, $11.69, $10.94, $9.57, $8.00

On the other hand, if Solana slips dynamically below the cross-support at US$ 22.03 at the end of the day, the correction extends towards the turquoise support zone. A directional decision can be expected between $20.83 and $19.63.

Here, unless Solana flips north and breaks below the supertrend at $19.63, the correction will immediately extend to at least $17.71. The last price rally started in mid-January this year in the blue support zone. A abandonment of $16.96 would cloud the chart further.

$14.94 would be activated as a bearish target. In the first touch, the price should bounce north here. A correction movement up to this price mark would still be manageable from a technical point of view. On the other hand, a break of the support is likely to take the SOL price to the bottom of the yellow support zone at $13.08.

If this chart mark is also abandoned, the downward movement will immediately expand to at least $11.69. However, a retest of support at $10.94 would be more likely. Solana would thus have given up all the profits of the last 8 trading weeks. The buy side must defend the green support area and should not let Solana correct below the maximum bearish price target of $9.57. Otherwise there is a risk of a new trend low.

Looking at the indicators

Looking at the indicators, the daily chart shows clear signs of fatigue. The MACD shows a slight sell-signal. The RSI is trading back in the neutral zone at 50, but has recently defended the lower edge at 45. Only a breakout above 55 would generate a fresh buy signal here.

All content in this article is for informational purposes only and in no way serves as investment advice. Investing in cryptocurrencies, commodities and stocks is very risky and can lead to capital losses.

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