Solana (SOL) Holds Support Post-Gains, Testing Bull Conviction

Solana started a fresh increase above the $135 zone. SOL price is now consolidating above $135 and might aim for more gains above the $140 zone.

  • SOL price started a fresh upward move above the $135 and $138 levels against the US Dollar.
  • The price is now trading above $135 and the 100-hourly simple moving average.
  • There is a contracting triangle forming with support at $138 on the hourly chart of the SOL/USD pair (data source from Kraken).
  • The pair could extend gains if it clears the $140 resistance zone.

Solana Price Eyes Another Increase

Solana price started a decent increase after it settled above the $130 zone, like Bitcoin and Ethereum. SOL climbed above the $135 level to enter a short-term positive zone.

The price even smashed the $140 resistance. The bulls were able to push the price above $142. Recently, there were a couple of swing moves and the price dipped below the 50% Fib retracement level of the recent upward move from the $136 swing low to the $141 high.

Solana is now trading above $138 and the 100-hourly simple moving average. Besides, there is a contracting triangle forming with support at $138 on the hourly chart of the SOL/USD pair.

On the upside, the price is facing resistance near $140. The next major resistance is near the $142 level. The main resistance could be $145. A successful close above the $145 resistance zone could set the pace for another steady increase. The next key resistance is $150. Any more gains might send the price toward the $155 level.

Downside Break In SOL?

If SOL fails to rise above the $142 resistance, it could start another decline. Initial support on the downside is near the $138 zone, the trend line, and the 76.4% Fib retracement level of the recent upward move from the $136 swing low to the $141 high. The first major support is near the $136 level.

A break below the $136 level might send the price toward the $130 support zone. If there is a close below the $130 support, the price could decline toward the $120 support in the near term.

Technical Indicators

Hourly MACD – The MACD for SOL/USD is losing pace in the bullish zone.

Hourly Hours RSI (Relative Strength Index) – The RSI for SOL/USD is above the 50 level.

Major Support Levels – $138 and $136.

Major Resistance Levels – $140 and $142.

Source
Disclaimer: The content above is only the author's opinion which does not represent any position of Followin, and is not intended as, and shall not be understood or construed as, investment advice from Followin.
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