During the middle of December 2023, the price of Solana (SOL) had a gain of 58%, and it has been stabilizing ever since. The SOL bulls, on the other hand, are most likely making a comeback, which is a hint that this upswing will continue.
Solana price is likely to fly next week.
There was a 38% drop in the price of Solana between the end of December 2023 and the beginning of January 2024, which resulted in a price range of $127.21 to $80.84. Following the sweep of the range low on January 22, SOL has continued to recover and is currently trading at a price that is higher than the range’s midpoint, which is $104.02.
If SOL is able to successfully flip this level, it may be able to retest the range high, which is now at $127. However, it is probably not going to stop here; rather, it is going to continue to rise and reach the weekly level at $135.70.
The bullish outlook on Bitcoin, which has caused Layer tokens such as Solana, Ethereum (ETH), Avalanche (AVAX), and others to climb, is a factor that is supporting this move. Furthermore, it appears that the Relative Strength Index (RSI) has reset at the overbought level, which is an indication that there is a possibility of a bounce.
There is no doubt that the forecast for the price of Solana is favorable; however, investors need to keep an eye out for the weekly closing that is higher than $104.02. It is possible that SOL will fall if this rejection occurs or if a bearish sweep occurs.
In the event that SOL transforms the $80.84 level into a resistance barrier, the bullish thesis will be found to be erroneous. In such a scenario, the price of Solana may plummet by twenty percent, reaching $64.18.