Solana Price Prediction: SOL continues its 10% rally after fakeout
|- Solana price swept deep below the range low at $25.12 on July 22 and set up a local bottom at $22.70.
- After undoing all the losses in the following four days, SOL is ready to extend this rally by another 10%.
- Invalidation of this bullish outlook will occur if the altcoin creates a lower low below $22.76.
Solana (SOL) price slipped below a crucial support structure to balance out an imbalance. Completion of this goal was quickly followed by a spurt of buying pressure that undid the recent losses. Now SOL could trigger another swift rally to collect liquidity to the upside.
Read more: Solana records one outage in first half of 2023, 100% uptime in Q2
Solana price ready to breakout
Solana (SOL) price created a range, extending from $25.12 to $29.80 on July 14. After producing a set of lower highs for the next week, SOL breached the support level at $25.21, resulting in nearly 8% in losses.
After this decline set up a local bottom at $22.70, Solana price kickstarted its recovery rally that created another inefficiency, extending from $23.97 to $24.49. While a dip into this area would be a good opportunity to buy, it is unlikely SOL holders will get a chance to accumulate. Regardless, setting up some bids at these levels would be a good idea for bulls.
A bounce at the aforementioned inefficiency or from the current position at $25.41 would result in an extension of the uptrend for Solana price. This move will target the range’s midpoint at $27.50 and would constitute a 10% gain.
But in a highly bullish case, SOL could even go for a sweep of the range high at $29.80, bringing the total gain to 20%.
SOL/USDT 1-day chart
On the other hand, if Solana (SOL) price creates a lower low below $22.76 on the four-hour or higher timeframe, it would invalidate the bullish outlook.
Such a development could see SOL target the sell side liquidity resting below the July 13 swing low at $21.34.
Also read: Top 3 cryptocurrencies to focus on in July 2023 and their targets: SOL, OP, COMP
Like this article? Help us with some feedback by answering this survey:
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.