Solana started a new rally from the $83.50 area. SOL price is now consolidating and may aim for further gains above the $85.50 area.
- SOL price started a new upward movement above the $83 and $84 levels against the US Dollar.
- The price is now trading above the $84 level and the 100 hourly simple moving average.
- There is an uptrend line forming with support at $83.80 on the hourly chart of the SOL/USD pair (data source from Kraken).
- The pair may continue its gains if it exceeds the $85.50 resistance area.
Solana Price looks for bullish breakout
Solana price corrected its gains from the $85.50 area but remained stable above the $83 area Bitcoin and Ethereum. SOL formed a low near $83.20 and started a new upward movement.
The price rose above the $84 level to enter a short-term positive zone. It has crossed the 50% Fib retracement level of the downward move from the high of $85.85 to the low of $83.27. Moreover, there is an uptrend line forming with support at $84.00 on the hourly chart of the SOL/USD pair.
Solana is now trading above the $84 level and the 100 hourly simple moving average. On the upside, the price is facing resistance near the $85.20 level and the 76.4% Fibonacci retracement level of the downward move from the $85.85 swing high to the $83.27 low. The next major resistance is near the $85.50 level.
The main resistance could be $88. A successful close above the $88 resistance area could pave the way for another steady increase. The next major resistance is $90. Any further gains could push the price towards the $95 level.
Another drop in SOL?
If SOL fails to rise above the $85.50 resistance, it could start another decline. Initial support on the downside is near the $83.80 area and trend line. The first major support is near the $82.50 level.
A break below the $82.50 level could send the price towards the $80 support area. If there is a close below the $78 support level, the price may fall towards the $72 support level in the near term.
Technical indicators
Hourly MACD – The MACD for SOL/USD is gaining pace in the bullish zone.
Hourly RSI (Relative Strength Index) – The RSI for SOL/USD is above the 50 level.
Key Support Levels – $83.80 and $82.50.
Major resistance levels – $85.50 and $88.00.
