The Prediction of the Price of Solana Following the Recent Rally
SOLANA has climbed by 8% over the previous week and by 12.5% over the last thirty days. In addition, during the course of the preceding year, the currency saw an incredible 400% rise.
Following a prosperous weekend for the alternative cryptocurrency market and the broader cryptocurrency sector, Solana’s price has fallen 4.5% over the last 24 hours, returning to $104.89.
It is questionable whether or not the coin is likely to face more pullback given the size of the rally that SOL has witnessed over the last several months based on the signs.
Despite this, many believe that the growing inflows of Bitcoin ETFs will lead to a more positive outlook for the cryptocurrency sector. This implies that following a minor decline, SOL can witness further notable increases.
Looking at the SOL chart, it is possible—at least if one is to interpret it by its indicators—that the currency may see additional falls in the near future.
Particularly noticeable is the fact that its relative strength index (purple) has dropped from about 65 to 55 over the course of the last day or two, which indicates a distinct loss of momentum.
However, its 30-day moving average (yellow) is in a more mixed situation, with the average still increasing marginally above the 200-day average (blue). This is despite the fact that the aforementioned statement is true.
It is possible that the two later might wind up lowering during the next one or two weeks due to the fact that the present price of SOL is decreasing towards the 30- day.
On the other hand, given that SOL’s support level (green) has been able to withstand significant dips since December, it is quite likely that it will not fall very far.This implies that the current corrective shouldn’t be made too drastically.
SOL’s gains over the weekend, which haven’t even been too much affected by today’s fall, can be attributed to the fact that Bitcoin ETF volumes have greatly increased trader confidence and the market, which has positively influenced most altcoins.
Even while solana appears to be in a strong position going forward, traders still need to be mindful of the possibility that there could be another outage.
A five-hour outage occurred last week on the Solana blockchain, which has been operating without interruption for nearly a year. This incident made people wonder if the network had fully recovered from the issues that surfaced in 2022.
At the present, it seems that only a small number of traders are very troubled by the current outage; nevertheless, if anything like occurs in a reasonably short period of time, the price of Solana might suffer a significant damage.