Solana has recently broken through the $200 Solana resistance level, right after victory of Donald Trump, which is rising questions about its next move?
Solana’s Recent Rise
Solana’s native token, SOL, saw a notable recovery during the U.S. election week. After dropping 14% from October 31 to November 5, the token increased by 15% on election day, reaching $187. This rise was primarily due to increase in trading volume, which exceeded $6 billion. Solana quickly moved past the $200 mark, hitting a high of $201 after the election results. The price increase was supported by strong on chain activity and positive market sentiment following former President Donald Trump’s election win.
At the same time, Bitcoin reached a new all time high of $76,873 before slightly pulling back, and Ethereum saw a 3.4% increase, reaching $2,911. Stock markets also climbed, with the S&P 500 and the Dow Jones Industrial Average hitting record highs, as many investors expect the new administration to introduce favorable cryptocurrency policies, lifting overall market optimism.
Growth Driven by the Meme Coin Market and DEX
Solana’s growth has been supported by increased activity in the meme coin market. Furthermore, Solana’s decentralized exchange (DEX) community, including platforms like Raydium, has seen impressive growth. In fact, Raydium reached a trading volume of $30 billion last month, which significantly contributed to Solana’s rise.
(adsbygoogle = window.adsbygoogle || []).push({});Analysts, like Min Jung from Presto Research, have pointed out that Solana is benefiting from a growing decentralized finance (DeFi) space and high activity within the Solana community.
Breaking the $200 Solana Resistance Level
Solana has successfully broken the key resistance level of $200, which has been a milestone. A few days ago, Solana was trading at $187.59, and after breaking through the $180 support level, just broke a major solana resistance level at $201 and is now pumping toward its final solana resistance level at $250. If it pushes past $250, it will enter price discovery mode, meaning there’s no limit to how high it could go since it’s never been at these prices before. This will create a new All Time High.
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Source : Trading View
Key Levels to Watch
Solana has broken free from the high low structure that had been in place since March. This breakout signals that the token could continue to rise. After breaking through the $200 level, the next major solana resistance level is around $250. If Solana manages to clear this resistance, it will be targeting the all time high (ATH) from November 2021, which is around $260.
On the technical side, Solana’s recent movement is showing bullish signs. It is currently facing resistance around the 100% Fibonacci level at $201.69, but if it manages to break above this level, the next target could be the $250 solana resistance level.
Strong Market Indicators
Solana’s recent rally has been supported by some strong technical indicators. The MACD (Moving Average Convergence Divergence) and signal lines have produced a bullish crossover, suggesting that the upward momentum could continue. Moreover, the 50 day and 200 day simple moving averages (SMA) have confirmed a “golden crossover,” which is typically seen as a positive signal for price movement.
However, the 100 day SMA is still below the 200 day SMA, indicating that there may be some short-term resistance before Solana can fully break into new highs.
(adsbygoogle = window.adsbygoogle || []).push({});What’s Next for Solana?
As Solana continues to break resistance levels, the next targets are $210 and $260. A break above these levels could pave the way for new all time highs which is Price Discovery Mode. While there are technical hurdles to overcome, Solana’s strong market activity, rising interest from investors, and the ongoing growth of its market make it an exciting token to watch in the coming weeks.
Conclusion
Solana has successfully moved past the $200 solana resistance level, but there are still important levels ahead, including $210 and the $260 ATH. With continued growth in the meme coin market, strong technical indicators, and a positive market outlook, Solana’s upward momentum may persist. It’s important to monitor these crucial levels to determine Solana’s next move.
Also Read : Solana Meme Coins Market Cap Sets New ATH
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