Good time of the day.
Today, we will discuss the crypto coin Solana (SOL). In the last review of the Solana (SOL) coin, I presented two scenarios, as well as highlighted key points to pay attention to and what to do in different scenarios of the coin’s movement.
Option 2: The coin begins to move upwards, reaching the upper line of the horizontal channel at $22, after which the price may continue to rise, and only if the price rises above the $48 mark can we confidently say that the upward trend has begun.
If you haven’t read the previous review, I advise you to start from the beginning to keep track of all developments. I will leave the link to the previous review below.
https://socialpower.online/solana-sol-part-2-how-to-choose-the-best-time-to-buy-sol/
Let’s begin, grab a notepad and pen, as I will provide essential levels that will help you understand when to buy or wait a bit longer. As I mentioned before, the coin was situated at the upper part of the channel and was expected to make a significant move that we have been anticipating since January 2023. And it happened! The coin broke through the resistance line of the global channel, unlocking the potential for growth up to the $48 mark.
When will the growth occur?
This is a question that every trader, investor, or individual monitoring the market asks. Today, we will analyze and attempt to answer this question. On the chart I have provided, you can see that the price reached the lower support line of the horizontal channel at the $28 price point.
What does this mean for us?
First and foremost, if the price manages to break through the $28 level, the next resistance line where the coin may stall is at $48. This is the nearest high, and in the past, it was a robust resistance line that held the price of Solana (SOL) in April 2021. I want to remind everyone that after breaking through this level, the coin surged to $259, reaching an all-time high.
Answer to the question: If the price breaks through the $28 level, the next highly significant resistance line is at $48.
What if the price fails to surpass the $28 mark?
Certainly, this scenario is possible, and we should not exclude it. Let’s now examine where the price might decline. If the price fails to overcome the $28 mark and does not enter the horizontal channel between $28 and $48, then the price will likely first descend to the first support line at $19, and then it may even return to the descending channel where the coin had been declining for a long time. In that case, the price may plummet to the $15 mark and perhaps even to the lowest level seen in December 2022, at $9.50 per coin.
After providing answers to the key questions that everyone is interested in, let’s summarize!
- If the price establishes itself above the crucial $28 level per coin, only then can we talk about further growth towards the nearest and very strong resistance line at $48 per coin.
- If the price fails to secure itself above the $28 level, it may decline to the nearest support line at $19. If the price continues to drop further, we might witness the coin at $15 and $9.5 per coin.
I hope today’s trading idea on SOLANA has been helpful to you.
