Solana (SOL) was one of the cryptos with most impressive runs in 2021 having risen more than 8600% in the past one year. With many more projects launching on the Solana Network particularly gaming and NFT projects bolstered by the NFT hype of 2021, analysts are confident that SOL is a token to look out for 2022.
At the moment, the short-term outlook for SOL price is a make or break with a possibility of a minor uptrend to areas above $200.
Solana Bulls Aim For The $201 Range High
Solana price makes a rebound from the $167 support floor to kick-start an uptrend that is likely to continue in the near-term. $167 appears to be a strong support area for SOL considering the price of the “Ethereum Killer” token has bounced off it four time in the recent past now: December 30, December 31, January 04 and the early trading hours of January 05.
It is worth noting that Solana’s uptrend has continuously been impeded by the 100 four-hour simple moving average (SMA) resulting in a sideways price action between the $167 support floor and the $180 resistance.
For a clear upswing to be achieved, SOL bulls must overcome the 50 SMA at $174, the 100 SMA at $180 and the 200 SMA at 181.
If this happens, Solana’s rise to the December 27 range high above $201 will become a possibility, representing an 18% upswing from the current price around $169.
SOL/USD Four-Hour Chart
The upward movement of the Relative Strength Index (RSI) away from the oversold region adds credence to Solana’s bullish outlook.
Looking Over The Fence
Should things go awry for Solana and it loses the immediate support at $167, it could drop to tag the support provided by the $160 psychological level, invalidating the bullish thesis. A drop further could see Solana price retest the $157 support floor to contemplate re-attempting a bullish outlook or revisiting the 147.93 level.
The position of the MACD below the zero line in the negative region validates this bearish narrative.
Ecosystem
Research
News Network
About