Solana’s Rally to $900 Is on the Horizon, But a Key Resistance Looms

Solana is currently encountering significant resistance, making the target of $200 increasingly elusive. This challenge is exacerbated by bearish trends in the market and a downturn in investor engagement in digital activities. Consequently, Solana’s price struggles to maintain levels above $150.

Nevertheless, with signs of shifting market sentiment towards optimism, Solana’s price may be poised for a swift recovery. Analysts within the cryptocurrency space have noted that this altcoin still possesses growth potential, with one expert even suggesting that new all-time highs may be achievable.

Reasons Behind the Bullish Turn in Solana’s Price

TradingShot, a crypto analyst, has delved into the factors contributing to the recent bullish sentiment surrounding Solana’s price. Their analysis indicates that the rebound observed at the start of April has demonstrated resilience in this digital asset. This rebound occurred as Solana rebounded from the one-week 200-day moving average early in last month, with this bullish trend persisting through the month’s conclusion.

Additional Insights

With accumulating momentum, the altcoin managed to notch several weekly closes, culminating in another positive weekly candle to end April. This trajectory has positioned it toward the next vital benchmark, which corresponds to the one-week 50-day moving average and aligns with the blue trend line near $170, as displayed in the accompanying chart.

This benchmark is now critical for Solana to breach if it wishes to maintain its upward trajectory in May. The analyst highlights that should Solana’s price successfully surpass this level, it is anticipated to transform into a support level for the altcoin. A support line at $170 could prove advantageous for Solana, providing a potential launchpad back towards $200.

Future Targets

As previously mentioned, the foremost priority for Solana is to break through the blue trend line at $170. If this occurs and the price establishes a stable base, the next significant target would be the $350 mark. The analyst points out that the $350 threshold represents the peak of the recent price wedge.

Additional Insights

Furthermore, a decisive breakthrough above $350 would pave the way for $900 as the price begins to establish higher highs. “Considering that the recent three-month correction resulted in a -67.23% decline, akin to the last correction in May 2021 during the previous cycle, we foresee one final surge reaching the 2.0 Fibonacci extension at $900, contingent on the breakout of the higher highs trend-line,” TradingShot noted.