Solana (SOL) Breakout Setup Strengthens As Bulls Regain Full Control

Solana started a fresh increase above the $90 zone. SOL price is now consolidating and might aim for more gains above the $96 zone.

• SOL price started a fresh upward move above the $90 and $92 levels against the US Dollar.
• The price is now trading above $92 and the 100-hourly simple moving average.
• There is a bullish trend line forming with support at $92.20 on the hourly chart of the SOL/USD pair (data source from Kraken).
• The pair could extend gains if it clears the $96.50 resistance zone.

Solana Price Starts Fresh Surge

Solana price started a decent increase after it settled above the $88 zone, outperforming Bitcoin and Ethereum. SOL climbed above the $92 level to enter a short-term positive zone.

The price even smashed the $95 resistance. A high was formed at $96.85, and the price is now consolidating gains. There was a minor decline toward the 23.6% Fib retracement level of the recent upward move from the $87.61 swing low to the $96.85 high.

Solana is now trading above $92 and the 100-hourly simple moving average. Besides, there is a bullish trend line forming with support at $92.20 on the hourly chart of the SOL/USD pair.

On the upside, the price is facing resistance near $96.20. The next major resistance is near the $96.50 level. The main resistance could be $98. A successful close above the $98 resistance zone could set the pace for another steady increase. The next key resistance is $102. Any more gains might send the price toward the $105 level.

Downside Correction In SOL?

If SOL fails to rise above the $96.50 resistance, it could start another decline. Initial support on the downside is near the $94.00 zone. The first major support is near the $92.20 level, the trend line, and the 50% Fib retracement level of the recent upward move from the $87.61 swing low to the $96.85 high.

A break below the $92.20 level might send the price toward the $90 support zone. If there is a close below the $90 support, the price could decline toward the $88 support in the near term.

Technical Indicators

Hourly MACD – The MACD for SOL/USD is gaining pace in the bullish zone.

Hourly Hours RSI (Relative Strength Index) – The RSI for SOL/USD is above the 50 level.

Major Support Levels – $94.00 and $92.20

Major Resistance Levels – $96.50 and $98.00.