Solana plunged to a 12-month low of $95.23 on April 7, marking a sharp decline amid broader market turbulence.
However, as the market embarked on a recovery this week, SOL has witnessed a rebound, with its price climbing as demand surges.
SOL Rebounds 17%, Eyes Further Gains
Since SOL began its current rally, its value has soared by 17%. At press time, the altcoin trades at $124.58, resting atop an ascending trend line.
This pattern emerges when the price of an asset consistently makes higher lows over a period of time. It represents an uptrend, indicating that SOL demand is gradually increasing, driving its prices higher. It suggests that the coin buyers are willing to pay more, and it serves as a support level during price corrections.
SOL’s recovery is further supported by its rising Relative Strength Index (RSI), indicating increasing buying interest. This momentum indicator is at 49.58 at press time, poised to break above the 50-neutral line.
The RSI indicator measures an asset’s overbought and oversold market conditions. It ranges between 0 and 100. Values above 70 suggest that the asset is overbought and due for a price decline, while values under 30 indicate that the asset is oversold and may witness a rebound.
At 49.50 and climbing, SOL’s RSI signals a steady shift in momentum from bearish to bullish. A rise above 50 would confirm increasing buying pressure and a potential for a sustained upward price movement.
Solana Bulls Eye $138
SOL’s ascending trend line forms a solid support floor below its price at $120.74. If demand soars and the bullish presence with the SOL spot markets strengthens, the coin could continue its rally and climb to $138.41.
However, if profit-taking commences, the support at $120.74 would be breached, and the SOL’s price could revisit $95.23.
Disclaimer
In line with the Trust Project guidelines, this price analysis article is for informational purposes only and should not be considered financial or investment advice. BeInCrypto is committed to accurate, unbiased reporting, but market conditions are subject to change without notice. Always conduct your own research and consult with a professional before making any financial decisions. Please note that our Terms and Conditions, Privacy Policy, and Disclaimers have been updated.
