Key Takeaways:
- SOL price rallied over 10% and broke the $60 hurdle.
- It cleared a major contracting triangle with resistance at $58 on the daily chart.
- Solana seems to be setting up for more upsides if it clears the $61.80 resistance.
New Delhi(Coinchapter.com): Solana (SOL) is accelerating higher above $60. It is outperforming Bitcoin and could extend its rally by another 10% to revisit $68.
Solana Price Starts Fresh Surge
After a strong rally above $60, SOL price struggled to clear the $70 resistance. A multi-week high was formed near $68.13 before there was a downside correction. The price declined below the $62 and $60 support levels.
The price even spiked below the $55 level but stayed well above the 50-day simple moving average (blue). A low was formed near $51.39 before the price started a fresh increase. In the past two days, there was a strong increase in Solana above the $55 level, outpacing Bitcoin.
SOL cleared a major contracting triangle with resistance at $58 on the daily chart. The price is now trading above the 50% Fib retracement level of the downward move from the $68.13 swing high to the $51.39 low.
It is up over 10% today and the current price action suggests more upsides. Fundamentally, digital asset investment products saw strong inflows totaling $346 million last week. Solana added nearly $3.5 million in inflows in the week ending November 24, pushing month-to-date inflows to $40.2 million (as per data sources – Bloomberg and Coinshares).
These inflows reflect confidence and SOL price is absorbing all bullish pressure. It is now trading above the $60 resistance and facing resistance near the $61.80 level.
The 61.8% Fib retracement level of the downward move from the $68.13 swing high to the $51.39 low is also near $61.80. A clear upside break above the $61.80 resistance could fuel another rally. The next stop for the bulls might be near $68.00, above which SOL might accelerate higher toward the $75.00 level in the coming days.
Dips Supported in SOL?
Conversely, SOL price might struggle to settle above $61.80 and again correct lower. Immediate support is near the $58.00 level. The first major support sits at $55.50.
A downside break below the $55.50 support might start an extended decline. In the stated case, the price could revisit the $51.40 support. The main uptrend support is now forming near the $40.00 level and the 50-day simple moving average (blue).
Overall, SOL price is gaining pace above the $60 resistance, and it might rally further above the $61.80 resistance. If not, Solana might start a downside correction toward $55.50.
