Solana (SOL) has managed to maintain stability above the $175 level, showing signs of recovery and potential for upside movement. The price of SOL has started to climb after testing the $175 support against the US Dollar, trading above $190 and the 100-hourly simple moving average.
A significant development was the break above a connecting bearish trend line with resistance at $185 on the hourly chart of the SOL/USD pair. This breakout indicates a shift in momentum towards the bulls, with the potential for further gains if key resistance levels are cleared.
Currently, SOL price is facing hurdles near the $200 and $205 levels, with the next major resistance at $208. If the bulls succeed in breaking through these levels, the price could see a strong uptrend towards $215 and potentially even $235. A successful close above $220 could pave the way for a move towards $250.
However, if SOL struggles to surpass the $208 resistance, a downside correction could occur. Initial support is seen at $195, followed by a more significant support level at $188. A break below $180 might lead to a retest of the $175 zone, with further downside potential towards $162 if the $175 support is breached.
On the technical front, the hourly MACD for SOL/USD is showing bullish momentum, while the RSI is above the 50 level, indicating strength in the current uptrend. Major support levels to watch include $195 and $188, while key resistance levels are at $208 and $215.
In conclusion, Solana’s price action is showing signs of a potential upside breakout, with the possibility of a strong rally if key resistance levels are breached. Traders should monitor the price closely for any developments that could impact SOL’s price trajectory in the near term.