Analyst Stockmoney Lizards has shared a technical analysis of Solana’s price movement, pointing to a key resistance level at $260. The analyst’s tweet suggests a bullish outlook for SOL, urging traders to maintain patience as the asset approaches this threshold.
What you'll learn 👉
Market Recovery and Price Action
The Solana ecosystem has demonstrated resilience through its price action since early 2023. Stockmoney’s analysis based on Heikin Ashi candles reveals a steady upward trajectory, with SOL climbing above the $200 mark.
At the time of writing, SOL price trades at $239.01. The token has increased by 0.55% in the last day with the volume at $3,676,665,137.
The daily timeframe chart shows consistent green candles, marking a departure from the previous bearish phase that pushed prices down to $12. The price recovery gained momentum throughout 2023, establishing higher lows and higher highs.
Additionally, the chart pattern indicates strong buyer interest, with volume supporting the upward movement. Moreover, the data shows SOL maintaining its position above key support levels while testing upper resistance zones.
Technical Outlook and Trading Patterns
Heikin Ashi candlestick analysis on the daily timeframe exhibits clear trend formations. The smooth price action characteristic of these candles helps traders identify the market direction with greater clarity.
A double-bottom pattern formed near $12 early in 2023 served as a launching pad for the current bull run. The price action shows several tests of the $260 resistance level.
Trading volumes have increased during these tests, suggesting active participation from market players. The chart structure indicates consolidation below this resistance zone, with buyers accumulating positions.
Read also: Why Is Algorand (ALGO) Price Up?
Historical Price Performance
SOL’s journey from late 2020 through mid-2021 marked its initial explosive rally, reaching the $260 level.
The subsequent correction phase lasted from mid-2021 to early 2023, during which prices retraced substantially. This period aligned with broader market conditions affecting the entire crypto sector.
The recovery phase has seen SOL regain ground lost during the downturn. Price data shows steady accumulation phases interspersed with sharp upward moves. The current market structure mirrors the build-up seen during previous bull cycles, with strong buying pressure evident in the candlestick patterns.
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