NEW DELHI (CoinChapter.com) — Solana (SOL) price is consolidating gains above $85. The current structure suggests high chances of a fresh rally unless there is a close below $85.
Solana Price Remains In Uptrend
In the last Solana price prediction, we discussed why the SOL price could dip a few times before the bulls aim for an upside break. The price did remain below the $105 resistance zone and traded in a range with a few bearish moves.
The bulls struggled to gain strength for a steady move above $105. There was a downside reaction below the $95 support, but the bears struggled to push SOL below the key support at $85 and the 50-day simple moving average (blue).
A support base seems to be forming above the $85 level and the 50-day simple moving average (blue). The first major resistance on the upside is near the $100 level. There is also an important triangle forming with resistance at $100 on the daily chart.
A clear move above the triangle resistance might send the SOL price toward the 50% Fib retracement level of the downward move from the $126.66 swing high to the $85.00 low at $105.80.
If Solana settles above the $100 and $105 resistance levels, it could even clear the 76.4% Fib retracement level of the downward move from the $126.66 swing high to the $85.00 low at $116.80. In the stated case, the bulls might aim for a test of $125. Any more gains could set the pace for a move toward $138.
Recently, TheBlockPro shared research and highlighted how Solana outperformed Ethereum in average transactions per second in October 2023. SOL is clearly outperforming other cryptocurrencies, including ADA and XRP. It was positioned seventeenth in the market cap in 2023 and now stands at fifth. The Bulls might now aim to surpass BNB and move to fourth.
SOL Price Could Face Bearish Breakdown?
If SOL price struggles to clear the $100 resistance zone, there could be a bearish reaction. The first major support is near the triangle region at $85 and the 50-day simple moving average (blue).
The next key support is forming near the $80 zone. A downside break below the $80 support could send SOL toward the $62 zone. Any more losses may perhaps open the doors for a test of the key support at $50 in the coming months.
Overall, the SOL price is still in a strong uptrend above the $85 zone. The bulls could soon attempt a fresh rally above the $100 and $105 resistance levels. If they fail, Solana could see a sharp decline toward the $80 level.
