Posted:
- Solana retained its bullish bias regardless of the drop under $107.9.
- This dip shifted the market construction however shopping for strain remained dominant.
Solana [SOL] has been on a exceptional run since late September. After breaking previous the $80 resistance zone on twentieth December, the bulls wasted no time in driving SOL previous $100. It reached $126 on twenty fifth December.
Its YTD return was over 120%, as this time final 12 months SOL was weighed down after the FTX collapse. Its on-chain exercise was highly effective, and AMBCrypto famous that the community progress reached a month-to-month peak in December.
The honest worth hole drew SOL costs decrease
Supply: SOL/USDT on TradingView
On twenty third December, Solana costs surged greater from $95.28 to $110. This motion northward continued over the subsequent couple of days, leaving SOL no time to fill the honest worth hole it left on the 12-hour chart. This hole reached from $98.22 to $107.3.
The 50% stage of this hole sat at $102.76 and is a technical goal for the present dip that SOL is on. Decrease than $100, the $93-$98 additionally introduced a very good argument for getting SOL. It had been a decrease timeframe consolidation zone earlier than the big breakout.
The market construction of SOL has shifted bearish on the 12-hour chart. The RSI continued to maneuver above impartial 50 to point consumers have been in management.
The OBV additionally confirmed that the current losses didn’t come on the again of intense promoting strain. As a substitute, it was seemingly that SOL might climb greater once more.
The $100 stage was not only a psychological help stage
Supply: Hyblock
AMBCrypto’s evaluation of the liquidation heatmap confirmed that the $100-$103 area was crucial. This space held a considerable amount of estimated liquidation ranges.
Therefore, SOL might dip just under $100 to gather this liquidity earlier than climbing upward.
Is your portfolio inexperienced? Examine the SOL Revenue Calculator
Under $98.2, the subsequent space of curiosity was $90.3, gauging by the numerous quantity of liquidation ranges. A drop under $90 might see SOL revisit the $70 help area.
However, a profitable protection of the $100 space might see SOL rally towards $143, the subsequent long-term resistance stage.
Disclaimer: The data introduced doesn’t represent monetary, funding, buying and selling, or different kinds of recommendation and is solely the author’s opinion.