Solana Price: SOL, the native token of the Solana ecosystem, witnessed a temporary sell-off on Tuesday as the network witnessed a 5-hour outage. The collapse of the system caused the price of the currency to plummet to the minimum of 92.8 dollars, and then quickly recovered from the recovery trend.
@mtromp, a Solana validator, said in a post on X: “The core engineers have identified a fix and are building a new version to update the validators. More details at the end of the tests”
The renewed buying took the coin’s price to $105.4, setting up for a decisive breakout from a bullish reversal pattern called an inverted head and shoulder.
Read also: 3 times Solana will rival 10X in 2024: XRP, DOGE, SHIB
Can Solana’s price sustain above $100?
Solana Price | Tradingview
Amid the recent cryptocurrency market recovery trend that has pushed the price of Bitcoin above $46,000, most major altcoins have rebounded to higher levels, including Solana. The price of SOL, rising for four consecutive days, rose from $92.8 to $105, recording 13%.
A recent analysis by popular trader CryptoBusy highlighted a bullish signal for Solana ($SOL) investors: an inverted head and shoulders pattern on the higher time frame chart. This technical formation, recognized to indicate a potential bullish reversal, emerges as $SOL faces long-standing multi-month resistance.
If Solana’s price can break above this resistance, it could mark the start of a significant uptrend. However, given the strength of this resistance in the past, caution is advised. A break above this level could signal a bullish phase for Solana, while failure to break above could lead to continued consolidation.
🚨 WATCH: #Solana $SOL head and shoulders reversed!
If $SOL breaks this reversal pattern on the higher time frame, it is bullish!
However, this is a multi-month holdout, so be careful! pic.twitter.com/VTl70dgvep
– CryptoBusy (@CryptoBusy) February 9, 2024
Therefore, a potential breakout with the daily candle close above the $105 neckline resistance will accelerate buying pressure to drive a rally to $135.
Technical indicator
- Exponential Moving Average: The price above the 20-day and 50-day EMA could offer buyers additional support.
- Vortex indicator: The widening gap between the VI+ and VI- slope in a bullish crossover state reflects that buyers are tightening their grip on their assets.
Related Articles:
- SOL Outage: Fix released for validation operators to restart the network
- Solana Price Prediction: Is It a Good Time to Buy SOL Dip as Grid Outage Causes Uncertainty?
- Bonk Vs Honk: Which Solana Meme Coins Are Worth the Hype?
