- Solana price is at the cusp of starting the long-awaited Christmas rally.
- SOL could be seen jumping 37%, making it its best performance for the year.
- The man handing out this Christmas present to the cryptocurrencies will be Fed chair Jerome Powell.
Solana (SOL) price is set to stage one of its best performances for the year, and that could also be for the trading day or throughout several trading days in a row. All stars look to be aligned for a massive rally that could get lit by Fed Chair Powell who is due to speak this evening a few hours before the US closing bell. Expect his speech to be the catalyst to bring the Christmas spirit and see markets rally in these last few trading days of the year.
SOL offers a window of opportunity even without Powell
Solana price shows massive signs of recovery from a purely technical point of view. Looking at the preferred measure of sentiment – the Relative Strength Index (RSI) – it becomes clear that the upside is the only way. Finally, with December just around the corner, SOL can trade away from the oversold area. With the uptick seen on Tuesday and early Wednesday, a rally looks granted and would see no real resistance along the way.
SOL is thus primed for a jump toward the first $15.07, which is the cap level for most of November. Once that is broken to the upside, the longer-term red descending trend line will be broken again. From there, a lot of area opens up toward $18.66, which would bear a whopping 37% gain for SOL traders.
SOL/USD daily chart
A firm rejection on the topside could be looming as some upside is granted. That $15.07 barrier has been holding its resistance quite firm throughout November and could easily be doing it again. Certainly, should the speech from Powell bear a hawkish undertone by saying that inflation is sixty and will remain throughout 2023, that would be a massive reconfiguration of the current view of the markets on things. Expect, on the back of that, for SOL to quickly nosedive lower toward $10 and flirt with a break below that psychological level toward $7.26.
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.
Recommended Content
Editors’ Picks
Ripple on-chain metrics show bullish signs amidst legal struggle with SEC, XRP eyes recovery
Ripple made a comeback above $0.48 on Tuesday and hovers above that level in Wednesday’s European session. Ripple on-chain metrics such as transaction volume and Network Realized Profit/Loss have turned bullish, supporting a recovery in the altcoin.
Bitcoin price falls amidst German government transfers, miners activity
Bitcoin (BTC) extends correction on Wednesday and hovers around $61,000 after finding resistance near the $64,000 level on Monday. Recent on-chain data indicates heightened selling activity from Bitcoin miners early in the week.
Crypto Today: Bitcoin erases gains from end of June, Ethereum declines while Ripple holds
Bitcoin wipes out gains from the last week of June and falls below $60,000 on Wednesday. Ethereum and top altcoins ranked by market capitalization erased gains as the inflation outlook worsened. Ripple holds on to recent gains and hovers above $0.48 on Wednesday.
Three reasons why altcoins could shake off losses this week
On-chain data from Santiment shows that altcoins are currently in the opportunity zone, or generating buy signals. The top three altcoins in the buy zone are Basic Attention Token (BAT), Chromia (CHR), and Highstreet (HIGH), per Santiment.
Bitcoin: BTC price correction could end in July, according to seasonal data
Bitcoin (BTC) price appears poised for a decline this week, influenced by slight outflows in US spot ETFs, selling activity among BTC miners, and a combined transfer of 4,690.28 BTC to centralized exchanges by the US and German governments.