In the ever-evolving world of cryptocurrencies, few figures carry as much weight as Raoul Pal, a top macro investor and market commentator whose predictions and insights are closely watched by the investment community. Throughout the year, Pal has been notably bullish on Solana (SOL), and recent developments have shown that his optimism was not unfounded.
Pal’s endorsement of SOL was underscored by a tweet that proclaimed his bullish stance, “SOL – I’ve been extremely bullish all year. It’s up 171% this year and we are about to test the big inverse head and shoulders at $30…. next major resistance would likely be $50, once confirmed.”
$SOL – Ive been extremely bullish all year.
It’s up 171% this year and we are about to test the big inverse head and shoulders at $30…. next major resistance would likely be $50, once confirmed. 1/ pic.twitter.com/2I0l92xFTR
— Raoul Pal (@RaoulGMI) October 20, 2023
Solana, a blockchain platform known for its high-speed and low-cost transactions, has seen its price soar by an impressive 171% during the year. Yet, Raoul Pal believes that this extraordinary rally may be far from over, citing technical patterns that suggest further growth.
At the center of this bullish sentiment is the “Inverse Head and Shoulders” pattern, which the Solana (SOL) price is on the brink of testing. The pattern, comprising a head between two shoulders, is a classic reversal formation that often heralds a significant price increase. The first “shoulder” was identified in early Q2 of 2022, and the “head” formed in December 2022 during a turbulent period in the cryptocurrency market following the FTX collapse.
The ongoing “shoulder” stage, according to Pal, holds the potential to propel Solana (SOL) to the $50 mark. However, this bullish trajectory hinges on the asset’s ability to defend the $30 level, a crucial price point that will confirm the pattern closure.
One aspect that Raoul Pal has underscored is Solana’s exceptional performance when paired with two of the largest cryptocurrencies, Bitcoin (BTC) and Ethereum (ETH). SOL/BTC and SOL/ETH charts have both recently broken out of bearish patterns, indicating that Solana’s positive momentum extends beyond its native market. The synchronicity of these breakouts in October 2023 has undoubtedly contributed to the asset’s recent gains.
As of October 20, 2023, Solana (SOL) came tantalizingly close to the coveted $30 level, stopping just short at $29.43. This represents a substantial gain of 9% in the past 24 hours, illustrating the strong investor interest in this blockchain platform and its native cryptocurrency.
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