SOL price Eyes 75% Rally Solana paints Bullish Reversal Pattern

SOL price Eyes 75% Rally Solana paints Bullish Reversal Pattern: Solana (SOL) Continued its recovery course on June 28th.

The SOL price rose 2.42% to an intraday high of $ 39.40, while the SOL / USD pair is now up 50%. Extensive retracement action It dropped to $ 26 on June 14th.

SOL / USD Daily Price Chart. Source: TradingView

Solana prices have risen 75%

The latest buy-in period in the Solana market is “as it appears”.Reverse Head and Shoulder System (IH&S)”Method.

When setting the price of three tanks in a row below the general support trendline known as the “neckline”, a positive reverse pattern appears. The middle tank, called the “head”, is always deeper than the other two tanks, called the shoulders.

The IH&S system will be resolved after the price breaks above the neckline level. Also, as a rule of thumb for technical analysis, the profit target of the shape is equal to the maximum distance between the lowest point of the head and the neckline.

SOL / USD daily price chart in IH&S format. Source: TradingView

Suppose SOL breaks above its neckline resistance of $ 41.50. Later, opportunities to pursue bullish restructuring About 83.5%Its reverse target is over $ 68, 75% higher than today’s price.

Intermediate resistance levels

At the confluence of technical resistance levels, including the 50-day high-moving average (50-day EMA; red wave) and the support-back-resistance line, Solana’s path for $ 68 may face obstacles. Both resistance levels are about $ 47.

SOL risks exhausting its IH&S breakout, in turn, “Bear flag system

The SOL / USD daily price chart has the shape of a ‘bear flag’. Source: TradingView

As a result, SOL’s negative target will be in the range of approximately $ 23- $ 30 depending on its breakdown point.

In a similar setting, the independent market analyst expects the price of PostyXBT SOL to reach $ 47.

Nonetheless, declining levels are worrying, so traders should play the short-term trend until further positive stabilization, he added. In other words, once the SOL reaches $ 47, the chances of a low return are high.

Solana is also down 85% from PE

Like most crypto assets, Solana has lost a significant portion of its valuation compared to the November 2021 peak, which is now down more than 85%.

 

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