Solana (SOL) Smashes Through Resistance: Aiming for a 20% Rally

Key Takeaways:

• SOL price climbed higher and cleared a major hurdle at $162.
• A key bullish trend line is forming with support at $145 on the daily chart.
• Solana could continue to rise toward the $180 and $195 resistance levels.

Solana (SOL) is gaining pace above $162. The current price action is positive and suggests more gains toward the $195 level.

Solana Price Signals Major Breakout

In the last technical analyses, we discussed how Solana could clear the $155 and $162 resistance levels to move into a positive zone. In the past few sessions, Bitcoin climbed over 5% and broke the $68,000 resistance. It helped SOL in clearing a few hurdles including $162.

During the increase, the price surpassed the 61.8% Fib retracement level of the downward move from the $194.32 swing high to the $109.79 low. It also settled above the $162 resistance zone and the 50-day simple moving average (blue).

Solana is now showing signs of strength above the $165 resistance level. If the bulls remain in action and the cryptocurrency market remains positive, the price could continue to rise above $170.

Immediate resistance sits near the $175 level. It is close to the 76.4% Fib retracement level of the downward move from the $194.32 swing high to the $109.79 low. The first major resistance sits near the $180 level. A clear move above the $180 level could send SOL toward the main hurdle at $188.

A successful daily close above the $188 resistance and then a follow-up move above the $190 level could spark heavy bullish moves. The next major resistance is at $195, above which the bulls might aim for $220.

Recently, Solana shared an update as it approaches the Halloween meetup on Tuesday, 31 October. There are many Solanaween meetups organized.

https://twitter.com/solana/status/1847378699190227204

Downside Correction In SOL?

Conversely, Solana might struggle to surpass the $175 resistance and start a downside correction. Immediate support is near the $162 level (the recent breakout zone).

The first major support sits near the $155 level. The main support is now forming near the $145 level. There is also a key bullish trend line forming with support at $145 and the 50-day simple moving average (blue) on the daily chart.

A downside break below the $145 support might resend the price toward the $132 level. Any more losses could send SOL toward the $120 support zone in the near term.

Overall, Solana price is gaining strength above $162. However, SOL could continue to rise toward the $188 and $195 resistance levels if it clears the $175 barrier.