Solana has investors gearing up for 25% returns as technicals save the day

Solana price gets support from the triple incentive for investors to go long.
SOL price action is ready to squeeze out bears as market sentiment gainstailwinds.
Expect a recovery that could hold between 20% or 30% potential gains.

Solana (SOL) price action saw an accelerated sell-off when it broke clearly below the orange ascending trend line and saw bears coming in near $130. Between $130-$140, investors had an excellent area to make a fade-in trade. With price action back above $140, the first price target is $180, holding at least 20% potential gains.

Solana investors are in for an upside surprise

Solana price action lifted above $142 as global markets booked a second consecutive day of gains. SOl found bids in the region between $130-$140 where the monthly S1 support level, a historical low from October 12, the 200-day Simple Moving Average (SMA), and the green ascending longer-term trend line are all situated. Plenty of reasons and opportunities for a fade-in trade are reflected in the Relative Strength Index (RSI), which drifts away from the oversold area.

SOL price will now deliver its first blow to bears with a break of $142. From now on the road looks paved with gold to $180, where some profit-taking will be triggered with the 55-day Simple Moving Average and the orange ascending trend line both providing combined resistance. The return from this rally could differ from between 20% to 30% depending on which entry point bears will want to use for a short push.

SOL/USD daily chart

A negative turn in sentiment could stoke investors’ worries about Solana and its uptrend. As investors pull their money, a break below $130 is likely, followed by a sharp nose dive down to $90, where the monthly S2 support comes into play. In that region, between $85-$95, investors could have another go at a bullish fade-in trade, as they did in the past.

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