Solana (SOL) Price Is Ready To Go Higher, This Is A Potential Target

Solana (SOL) has shown decisive bullish signs. It may continue to rise in the coming days.

Key support level

The price of Solana (SOL) broke below the important support level of $20.2 and confirmed it as resistance on May 24th (red arrow). This action seemed to indicate a strong downward move towards the next support level at $17.

However, it turned out to be a false breakdown as SOL experienced a sharp increase on May 27th and reclaimed the $20.2 support level. This is a bullish development that often leads to a strong rally thereafter.

Indeed, SOL flipped this level as support on June 2nd (green arrow) and formed a bullish candlestick. This move coincided with the RSI indicator bouncing off the 50 level, showing that the bulls are in control of the market.

Therefore, SOL could soon rise to the next horizontal resistance level at $23.5 and potentially even higher to $26.

SOL/USDT daily chart. Source: TradingView

Inverse head and shoulders pattern

The 4-hour chart shows that SOL has broken above an inverse head and shoulders pattern, confirming a reversal of the downtrend into an uptrend.

This pattern has a target of $24.18, calculated by measuring the height of the pattern and adding it to the breakout point. The target is close to the horizontal resistance area at $23.5. Therefore, the SOL price can quickly rise to this resistance level without encountering significant obstacles.

SOL/USDT 4-hour chart. Source: TradingView


Technical indicators suggest that the SOL price is poised for further upward movement. The nearest target is $23.5, with potential for higher gains towards $26.

This perspective would be invalidated if the price breaks below the support level of $20.2.

Disclaimer: Please note that this article is for informational purposes only and should not be taken as investment advice. As an investor, it is important to do your own research before making any decisions. We are not responsible for any investment decisions you make based on this information. Not Financial Advice.

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