Solana price is trading in a positive zone above $24 against the US Dollar, similar to Bitcoin. SOL is correcting lower but could find offers near the $23.80 area.
Solana price started a decent rise above the $23.80 resistance against the US Dollar. SOL price is now trading above $24 and the 55 simple moving average (4 hours). A key rising channel is forming with resistance near $26.20 on the 4-hour chart of the SOL/USD pair, according to Coinbase. The pair needs to hold above the support levels of $24.00 and $23.80 to start another rally.
The rise in Solana’s price coincides with the rise in OI volume, suggesting that derivatives volumes are driving the recent uptrend. Such volumes also come along with increased funding rates on perpetual swap contracts, suggesting that leveraged traders are bullish on the token. This is a bearish contrarian signal, as the market often fills the stops on crowded perpetual orders.
Solana (SOL) Price Analysis
SOL price remained in a bullish zone, above the $20.00 and $20.50 support levels. The bulls were active near the $22 zone. A base was formed and the price started a decent rally above the $22.50 level.
There was a clear move above the $23.80 level and the 55 simple moving average (4 hours). The pair even broke above the $25 level. A high was formed near $26.03 before there was a downside correction. The price declined below the $25 support zone.
There was a minor move below the 23.6% Fib retracement level of the ascending wave from the $19.88 low to the $26.03 high. It is now trading above $24 and the 55 simple moving average (4 hours).
On the downside, the initial support is near the $24.30 level. The next major support is near the $23.80 level. A break below the $23.80 support level could trigger a sharp drop. In the indicated case, the price may perhaps decline towards the $23.00 level or the 50% Fibonacci retracement level of the ascending wave from the $19.88 low to the $26.03 high.
Further losses could require a test of $22.20. To the upside, immediate resistance is near the $25.50 level. The next major resistance is near the $26.00 area. There is also a key rising channel forming, with resistance near $26.20 on the SOL/USD 4-hour chart.
Further gains could send the SOL price toward the $27.50 resistance zone, above which the price could accelerate further. The next major resistance is near the $28.80 level.
Overall, the price needs to sustain above the $24.00 and $23.80 support levels to start another rally.
Technical Indicators
4-hour MACD – The MACD is now losing momentum in the bullish zone.
4-Hour RSI (Relative Strength Index) – The RSI is now correcting lower from the 60 level.
Key support levels: $23.80 and $23.00.
Key resistance levels: $25.50, $26.00, and $27,500.
According to the CriptoPredictions portal, the SOL price for today (04.19.2023) is forecast to be in the range of $21,063 – $30,974. Solana’s price is expected to end today at $24,780. During April, the expected maximum price of SOL is $35,216 and the minimum is $21,205.
By Audy Castaneda
