There has been some excitement in the crypto market after President Donald Trump announced plans to add Solana and some other cryptocurrencies to strategic reserves. Solana token value spiked by more than 20% yesterday for the first time since mid-January. Although it is seeing some correction already today.
The news confirms the current U.S. administration’s support for crypto and is expected to increase attention on the cryptocurrencies mentioned.
World Of Charts, a crypto analytics page on X, says SOL is “looking juicy here for midterm” following this major development. They posted:
“As US President, Trump announced that he is adding Solana in strategic reserves. It’s massive news which can give kick start for massive bullish wave to SOL. Expecting 2x in coming weeks,”
This announcement is part of Trump’s broader initiative to create a U.S. strategic cryptocurrency reserve. The reserve will include several major cryptocurrencies like Bitcoin, Ethereum, XRP, Solana, and Cardano. This diverse selection shows the administration is taking a wider approach to blockchain adoption beyond just Bitcoin.
World Of Charts believes this government backing could help Solana price break out of recent trading patterns and start moving significantly upward to up to 2x in coming weeks.
Technical Analysis Suggests Breakout Potential
Ali (@ali_charts) has spotted an encouraging pattern on Solana chart. “Solana appears to be breaking out of a descending parallel channel, setting its sights on a potential move to $213!” Ali noted.
The 4-hour SOL/USDT chart Ali posted shows that Solana price has been stuck in a downward-sloping channel for some time. This formation had previously signaled a bearish trend as SOL made lower highs and lower lows.
But recent price action shows SOL price breaking above the upper boundary of this channel. This breakout hints at a possible trend reversal, with strong buying momentum visible in the latest candles.
The Fibonacci retracement levels show the next key resistance around $211-$213, matching Ali’s target. If bulls remain in control, SOL price could later test $241, followed by $272.
Key support levels to watch include $160, $145, and $125. Resistance sits at $176, $213, and $241.
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The 2x price increase predicted by World Of Charts lines up well with Ali’s technical analysis. Both point to significant upside for Solana soon. With Trump’s announcement acting as a catalyst and technical indicators showing a breakout, SOL’s outlook appears increasingly bullish.
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