CoinInsight360.com logo CoinInsight360.com logo
A company that is changing the way the world mines bitcoin

WallStreet Forex Robot 3.0
Finbold 2024-12-11 16:21:43

This pattern sets Solana’s path to $4,000 — Should you buy SOL?

Solana’s ( SOL ) technical setup is hinting at a potential 1,600% rally for the decentralized finance ( DeFi ) asset amid a push to reclaim the $250 resistance level. Currently, Solana is exhibiting a ‘cup and handle’ pattern —a historically bullish setup that often signals price breakouts, according to an analysis by prominent cryptocurrency on-chain analyst Ali Martinez shared in an X post on December 11. This pattern indicates accumulation, with the rounded cup base reflecting consolidation as selling pressure eases and bullish momentum builds. For Solana, this base formed between late 2022 and early 2024, marking a period of recovery and strength. The handle, characterized by a shorter-term pullback, aligns with Solana’s recent price movements, consolidating around the $250 resistance level. SOL price analysis chart. Source: TradingView/Ali_charts According to Martinez, the potential breakout sets the next target at around $4,000—a record high. The 1.618 Fibonacci extension supports this outlook, pointing to $2,236, while the 1.786 extension aligns closely with the $4,000 target. Solana’s holding above the 0.786 retracement level of $123.44 also reinforces its underlying bullish momentum. However, the market expert did not provide timelines for when these price targets might be achieved. By any measure, Solana reaching $4,000 is an ambitious target that would elevate SOL’s market cap to nearly $2 trillion. To put this into perspective, it would place SOL on par with Bitcoin ( BTC ) if the maiden cryptocurrency experienced minimal growth. SOL’s hits double bottom Meanwhile, Solana has faced bearish sentiments in the short term, aligning with the general market momentum. However, as noted by trading analyst CryptoBusy on December 11, SOL might have overcome this bearish momentum after forming a double-bottom pattern in the one-hour timeframe. This bullish reversal pattern suggests a possible breakout could be imminent. SOL price analysis chart. Source: TradingView If bullish momentum continues, the next targets for SOL are the 0.5 Fibonacci level ($225) and the 0.618 level ($230). A measured move from the breakout point could potentially add $10 (4.56%) to the price. Solana’s potential breakout is further supported by on-chain metrics indicating increasing investor interest. For example, data from cryptocurrency intelligence platform DeFiLlama shows Solana’s daily trading volume surged from $2.92 billion on Saturday to $5.99 billion by Wednesday—the highest since November 20. Generally, such a spike reflects growing liquidity on the network alongside increasing investor interest. Solana trading volume. Source: DeFiLlama On the other hand, regulatory developments surrounding Solana could also influence the asset’s price. The Securities and Exchange Commission ( SEC ) is highly anticipated to approve a Solana exchange-traded fund ( ETF ). Notably, outgoing SEC Chair Gary Gensler has reportedly rejected the Solana ETF, questioning the cryptocurrency’s status as a security. Interestingly, the Solana community remains optimistic that the product will gain approval under the upcoming Donald Trump administration if crypto-friendly Paul Atkins is appointed to lead the SEC. SOL price analysis At press time, Solana was trading at $225.60, with daily gains of over 5%. However, SOL is down by nearly 3% on the weekly chart. SOL price analysis chart. Source: Finbold As Solana recovers from its recent short-term dip, there are bullish signals for both the short and long-term, such as SOL trading above the 50-day ($208.78) and 200-day ($166.37) simple moving averages. With a 14-day relative strength index of 45.25 and moderate volatility at 5.47%, Solana has room for growth without entering overbought conditions, giving the asset a strong chance to end an impressive 2024 on a high. Featured image via Shutterstock The post This pattern sets Solana’s path to $4,000 — Should you buy SOL? appeared first on Finbold .

면책 조항 읽기 : 본 웹 사이트, 하이퍼 링크 사이트, 관련 응용 프로그램, 포럼, 블로그, 소셜 미디어 계정 및 기타 플랫폼 (이하 "사이트")에 제공된 모든 콘텐츠는 제 3 자 출처에서 구입 한 일반적인 정보 용입니다. 우리는 정확성과 업데이트 성을 포함하여 우리의 콘텐츠와 관련하여 어떠한 종류의 보증도하지 않습니다. 우리가 제공하는 컨텐츠의 어떤 부분도 금융 조언, 법률 자문 또는 기타 용도에 대한 귀하의 특정 신뢰를위한 다른 형태의 조언을 구성하지 않습니다. 당사 콘텐츠의 사용 또는 의존은 전적으로 귀하의 책임과 재량에 달려 있습니다. 당신은 그들에게 의존하기 전에 우리 자신의 연구를 수행하고, 검토하고, 분석하고, 검증해야합니다. 거래는 큰 손실로 이어질 수있는 매우 위험한 활동이므로 결정을 내리기 전에 재무 고문에게 문의하십시오. 본 사이트의 어떠한 콘텐츠도 모집 또는 제공을 목적으로하지 않습니다.