Solana (SOL) has recently shown signs of bullish momentum, with the price oscillating from $230 to $247 over the past 24 hours. The question arises: Is SOL finally ready to take on its 2021 ATH of $260?
Written by Léa
Updated on 11/20/2024 at 05:32 by Thomas
Solana Data Analysis
Solana’s recent performance aligns with strengthening on-chain metrics, suggesting a positive trend for the cryptocurrency. Open interest (HEY) for Solana reached a record level of $5.45 billion earlier this week, according to Coinglass data.
This increase indicates increasing liquidity and the entry of new funds into the Solana market. A typical indicator of strong purchasing activity.
Additionally, data from DefiLlama shows that SOL’s weekly trading volume has jumped to $41.60 billion in mid-November, the highest all-time since 2020.
This increase in activity trading suggests increased market participation and trust in the Solana ecosystem. DefiLlama also reports that Solana generated $49.64 million in transaction fees last week, setting another record.
Favorable technical indicators
Technical chart patterns for SOL price indicate potential continued upward momentum. Analysts have identified a formation of “ cup and handle » bullish on the monthly chart of Solana, which historically has a success rate of 95 % for additional gains. The analyst crypto Titan of Crypto explained:
“Once Solana breaks its previous all-time high, it could soar towards $400.”
Additionally, the short-term analysis identifies levels of key resistance at $260 and $278. Breaking above these levels could trigger further advances, while support remains strong at $220.
Analysts estimate that the range of $360 to $400 is attainable once Solana price breaks through its current resistance.
Key Takeaways from Solana (SOL)
- Open interest (OI) for Solana has reached an all-time high of $5.45 billiona sign of strong purchasing activity.
- SOL’s weekly trading volume reached $41.60 billiona historic high since 2020.
- Technical indicators, such as the “cup and handle” formation. Which suggests significant upside potential for SOL price.
- Analysts target price levels of $360 to $400 once Solana breaks the resistance at $260.
- SOL’s technical and fundamental indicators suggest significant upside potential this week.
With open interest recordhigh trading volumes and bullish chart formations, SOL may well be on the verge of breaking new highs.
Although short-term correction risks exist, the medium-term outlook seem favorable for those who wish to gain exposure to this promising cryptocurrency.
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