Solana price gains momentum to break past $100

Solana price shows a falling wedge formation, hinting at a bullish move.
A move past $91.04 will confirm a breakout and propel SOL to $112.84.
A daily candlestick close below $75.33 will invalidate the bullish thesis.

Solana price action for the past month and a half has set up a bullish pattern. Investors can expect an explosive move as SOL breaks free from this setup.

Solana price awaits breaking point

Solana price set up two lower highs and three lower lows since January 22, giving rise to a falling wedge. This technical formation – which slopes downward – is actually bullish and forecasts a 23% upswing, determined by measuring the distance between the first swing high and low and adding it as an extension from the breakout point.

Hence, investors need to await a decisive move beyond the upper trend line of the falling wedge at roughly $91.04. Assuming such a surge occurs, this theoretical projection puts the target for Solana price at around $112.84.

There is a good chance buyers might take a short break around $105.82 due to the formation of equal highs.

Interested investors can enter a long position at $91.04 after a breakout confirmation and book profits at $105.82 and $112.84. In total, this move would represent a 23% ascent for Solana price.

A slightly riskier way to take this trade would be to enter a long position at $81.34 and book profits at $112.84. This run-up, however, would constitute a 39% gain.

SOL/USDT 1-day chart

While things are looking up for Solana price, a correction toward the $75.33 support level will open up doubts. A daily candlestick close below $75.33 will invalidate the rising wedge’s bullish thesis for SOL.

In such a case, Solana price might revisit the $65.91 support level – although at that point buyers will have the opportunity to attempt another run-up.

Share: Cryptos feed

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. The author will not be held responsible for information that is found at the end of links posted on this page.

If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.

FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted.

The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice.