Solana Faces Pivotal Moment at Key Resistance After Relief Bounce, Analyst Shares SOL Could Hit $100 If This Happens

January 24, 2024

Solana Appears to Be ‘Breaking Out From a Descending Parallel Channel’, Analyst Eyes $113 if It Can Hold This Level

Solana has rebounded nearly 10% from its recent swing low near $79 as bulls attempt to regain control of the narrative. According to analysis from trader Teshkid, SOL is now facing a critical test at the first major resistance level around $90.30 after reclaiming the support floor near $81.79.

Teshkid notes:

“Solana after a breakdown move to $79 is now bouncing and has reclaimed support at $81.79. On holding this support I am expecting a rally to $90.30 as the next target which is also resistance. A break above $90.30 watch for a rally to $100.”

Reclaiming the $81.79 support aligns with the emerging bullish flag continuation pattern highlighted in the analysis by altFINS. A successful defense of $81.79 would help confirm the flag formation and open the door for upside continuation.

However, Teshkid points out that SOL could be vulnerable to another breakdown if bulls fail at $90.30 resistance. A rejection here increases the risk of dropping back towards the $81.79 support zone.

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So in essence, Solana appears to have stabilized after its sharp slide but now faces a major test at $90.30 resistance. Clearing this level would signal resurgent bullish momentum targeting a retest of $100. However, SOL remains prone to volatile swings as it continues to develop within its bull flag pattern.

A daily close below $81.79 support would negate the bullish setup, with downside targets at $80 and $65. On the flip side, regaining $90.30 keeps the focus on the flag-measured move around $125. As such, SOL’s price action and reaction to these noted levels should dictate near-term trend direction.

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