As the cryptocurrency market experiences its typical ebb and flow, Solana (SOL) draws particular attention from analysts who anticipate significant movements in its price.
Currently, Solana is trading just below $150, but recent analyses suggest a potential for a substantial increase.
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Solana Eyes Major Surge As Key Technical Patterns Emerges
According to well-known crypto analyst Ali, Solana would surge higher by 53%, with Ali pointing to an ascending triangle pattern that could be a sign of a coming bull rally.
This pattern is usually bullish, indicating that Solana could see significant gains if it can keep its momentum going and break above this upper resistance level.
On Solana’s chart, Ali recommends watching $143 support and $178 resistance in the short term. Such levels are important in defining the short-term direction of the asset in the market.
#Solana is set for a major 53% price move! Keep an eye on the $143 support and $178 resistance levels to gauge the direction of the $SOL trend. pic.twitter.com/SB9tJ6D02u
— Ali (@ali_charts) June 12, 2024
The support could turn resistance and vice versa. If the price holds from the support or breaks past the resistance, this would trigger the anticipated bullish price action.
Ali said such a breakout from those technical levels could spur more than 50% higher in Solana’s market value, aligning with how other assets have behaved with similar patterns seen previously.
Currently trading just above $146, Solana has experienced a 7.6% drop, adding to a nearly 20% loss from the previous week.
A prominent crypto analyst commented on this trend, suggesting that Solana will likely continue experiencing fluctuations between $185 and $120, indicating a prolonged consolidation phase.
This stabilization is viewed as a natural correction following its recent significant rally. The analyst remains optimistic about the future, “expecting bigger things later.”
$SOL: I think SOL is just going to keep chopping around personally between $185 and $120. It’s a big range overall but I think we just continue to see a prolonged period of consolidation. It’s healthy to see this after that huge run to be honest, expecting bigger things later pic.twitter.com/aGNtVnBgDP
— Altcoin Sherpa (@AltcoinSherpa) June 12, 2024
Network Activity Fuels Optimism
The optimism for Solana’s price increase is not solely based on technical analyses. NewsBTC has recently cited on-chain data from IntoTheBlock, which shows that daily active addresses on Solana increased by about 1.1 million on the 11th of June.
This type of high level of network activity usually foreshadows price increases since it suggests an increased use case and actual adoption by users.
The cultural impact on Solana’s market position is also noteworthy. So far, not only investors have eyed the network, but also celebs – Australian rapper Iggy Azalea, Caitlyn Jenner, and Andrew Tate have all hit the platform, among others.
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This celebrity endorsement can help increase the curiosity and hype concerning SOL, which in turn will more likely increase the number of users and more likely investors who will adopt Solana.
Featured image created with DALL-E, Chart from TradingView
