- Solana’s native token has dipped 35% in the recent corrective phase.
- But the SOL/USDT pair has more steam left for a further bullish rally.
- RSI trending at oversold levels furthers points to a strong recovery ahead for SOL.
KOLKATA (Coinchapter.com) – After securing an all-time high of $216, Solana’s native blockchain asset trimmed gains to the tune of 35%. But the SOL/USDT printed a bullish setup that could lead to the pair logging near 50% gains from current prices.
SOL bulls attempted recovery at the beginning of October by pushing the token up 23% to the local top near $178. But the crypto asset fell prey to overbearing selling pressure and declined down to $140. However, the SOL/USDT pair now looks to ride the bull pennant formation to new all-time highs near $275.
Related: Solana (SOL) ready for a new rally after a month of consolidation; here’s why
SOS Time For SOL Bears
Bearish pressure on the SOL showed reduction signs as the SOL/USDT pair hit 30, the lower relative strength index (RSI) range limit. RSI numbers within the 30-50 range hint at oversold conditions and are a major indicator of bullish recoveries.
Related: Bull flag appears on Solana charts as SOL drops over 40% from the record high.
Plus, the pair’s bull pennant setup indicated that a rallying pressure was building up. And an upside breakout could occur once sellers lose their steam. SOL retested the pattern’s lower trendline during the ongoing bearish correction. A rise in the number of buy bids would lead to the SOL/USDT pair rising towards the upper trendline and reclaiming $161.43.
With the above impetus, the pair would find the strength to break out of the bull pennant setup above $270. The degree of the upside move derives from the maximum height of the bull pennant formation, which works out to be $100. Thus, a $100 jump from current prices would take the Solana token to $240.
NFT Boom Will Fuel Rally
The NFT hype on Solana reached a new frontier after crypto exchange giant FTX’s US arm launched the Solana NFT marketplace on Monday.
FTX.US is the first established marketplace for Solana-based NFTS and will allow users to buy and sell NFTs. 75 NFT projects would make their debut on FTX.US along with all digital collectibles Solana’s Metaplex standard. Currently, FTX supports NFTS minted on top of Solana but will add support for Ethereum-based NFTS too in the future.
