- Solana (SOL) is nearing a critical resistance level at $170, with indications of a potential bullish breakout.
- On the monthly chart, bullish signals include the MACD lines crossing and the RSI in overbought territory.
- As SOL approaches $170, market sentiment and technical indicators point towards a bullish breakout.
Solana (SOL) appears to be on the verge of a new bullish cycle, following in the footsteps of Bitcoin’s recent upward trend. As Solana approaches the critical golden ratio resistance level at approximately $170, with only a 10% gap to close, investors and analysts are closely monitoring the cryptocurrency’s movements.
A breakthrough at the $170 level could signal the beginning of a new bullish cycle for Solana, potentially propelling the cryptocurrency to retest its previous ATH of around $260.
The monthly chart’s Moving Average Convergence Divergence (MACD) histogram indicates an upward trend, with the MACD lines in a bullish cross and the Relative Strength Index (RSI) in overbought territory. Notably, there are currently no signs of bearish divergence or other bearish signals, further supporting the potential for a bullish breakout.
Can Solana surge higher?
Solana’s weekly chart shows predominantly bullish signals, with the MACD histogram trending higher since the previous week and the MACD lines crossing bullishly. However, the RSI’s presence in overbought territory may suggest a potential bearish divergence.
In the event of a bearish rejection at the golden ratio level, Solana may find support at approximately $99 and $60, with the 50-week Exponential Moving Average (EMA) providing additional support at around $66.3.
The daily chart presents a more mixed picture, with both bullish and bearish signals. Although the MACD lines remain crossed bullishly, the MACD histogram has been trending lower in a bearish manner, and the RSI is in overbought territory. Despite these concerns, the golden crossover of the EMA suggests a bullish trend in the short to medium term.
As Solana approaches the crucial golden ratio resistance level at $170, the cryptocurrency’s future trajectory remains uncertain. While the overall market sentiment and various technical indicators suggest a potential bullish breakout, the presence of mixed signals in shorter timeframes warrants caution.
