Journalist
Posted:
- If Solana breaks above $59.7, it could spark a bull rally.
- Market indicators and metrics remained bearish on the token.
Solana [SOL] experienced a comfortable bull rally last week that allowed the token’s price to reach $67. However, the trend did not last long as there was a price correction.
But investors need not worry as SOL has crossed a key resistance level, which could help the token reach new highs soon.
Is Solana’s bull rally ending?
Solana’s monthly price peaked on November 16 when its value reached $67.63. Shortly after, the value of the token began to decline. although SOL‘s value managed to rise by more than 3% last week, well below the previously achieved limit.
From CoinMarketCapAt the time of writing, SOL was trading at $59.51 with a market cap of over $25 billion.
The good news, however, was that despite the latest price drop, SOL managed to break above a key resistance level, which could help the token reach new highs in the days that followed.
Bluntz, a popular crypto analyst, recently posted a tweet highlighting that if SOL’s price managed to rise above $59.73, the token could initiate a new bull rally.
nice accumulation with a low time frame $SOL.
it looks like we just entered a running flat correction and I think we’re back, baby, new highs to follow.
trade this on bybit 👇https://t.co/zHX9WYRMOM pic.twitter.com/FMMuR4Ox7o
— Bluntz (@Bluntz_Capital) November 19, 2023
In fact, the token even exceeded that level for a short time in the last 24 hours. But the scenario changed when it again fell below the above-mentioned limit. AMBCrypto checked SOL’s daily chart to see if the token could trigger a bull run in the near term.
According to the Bollinger Bands, SOL‘s price remained in a highly volatile zone. The Money Flow Index (MFI) also registered an increase from the neutral level. Nevertheless, the Relative Strength Index (RSI) fell – a worrying sign.
Source: TradingView
Solana’s stats look bearish
AMBCrypto’s analysis of Santiment’s data revealed quite a few bearish numbers. Remarkable, the sign Social volume and trading volume decreased, reflecting a decline in popularity.
Negative sentiment surrounding the token was also dominant, as evidenced by the drop in weighted sentiment. Price volatility 1w also fell, minimizing the chances of an unprecedented price rise.
Source: Santiment
Is your portfolio green? look at the SOL profit calculator
Although the numbers were bearish, blockchain network activity continued to rise. When AMBCrypto checked Artemis’s data, we found that Solana’s daily active addresses were gaining momentum.
The same trend was also seen in daily transactions, which have increased over the past 30 days.
Source: Artemis