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SOL Price Analysis: Solana Coin Above Crucial DMA’s, while Reaching Towards Strong Supply Zone

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  • Solana coin Bulls pushes the token above all vital moving averages over the monthly chart while heading towards the final supply zone.
  • The coin trades in bullish momentum with higher highs and lower low sequences and has taken strong support of the 200 and 50-DMA lines.
  • The pair of SOL/BTC is trading flat with intraday gains of +0.28% at 0.0009822 BTC; whereas, the ratio of SOL/ETH is dropped nearly -0.41% in the last 24-hours standing at 0.01528 ETH.
Source:tradingview

Solana (SOL) coin is climbing higher after breaking above all moving averages, with the price heading towards the strong supply zone. The cryptocurrency has been trading in a narrow range for the past five days, but as of now, it seems to be showing some signs of life. 

The coin could break out from its current sideways movement and head upwards if buyers push prices through resistance at $49.50. A break above $44.50 and $49.50 per token could lead to an increase in buying pressure that would push prices higher above the supply zone of $42 to $49. Moreover, if the coin manages to sustain above the 20 and 50-DMA this week, we can see a retesting of the previous all-time high of around $55-58.  

Source:tradingview

Solana coin over the weekly time horizon has witnessed a strong selloff after creating a double top pattern at a 4-hour time frame. However, a gradual recovery is also seen from the lower levels, supported by the technical parameters. Interestingly the volume activity in the past two days has increased sharply and jumped above the average line. Support on the lower side is at $34 and $25; whereas, resistance is set on the higher side is at $44 and $49. 

Relative Strength Index (BULLISH): Solana coin RSI is presently projecting bullish momentum, gradually heading towards the overbought region over the weekly chart. At the same time, trading at 56 levels.  

Moving Average Convergence Divergence (BULLISH): Currently projecting a positive trend over the weekly chart. The MACD shows the buyer’s signal line (green) is overpowering the seller’s line (red).  

Support levels: $34 and $25

Resistance levels: $44 and $49