Solana has performed well in this cycle, reaching a price of over $250 at the peak of the bullish rally in mid September. Although it has slowed down a bit like other assets, it seems like time for another flight has come.
According to a crypto analyst’s tweet on 8 October, two key signals indicate that the coin is ready to make a big move upwards.
Two key indicators
CryptoJack in his chart on X said two key indicators point to Solana’s next rally. First is the ascending triangle which the coin has been ranging in.
To put it in perspective, an ascending triangle is a bullish continuation chart pattern formed by a horizontal resistance line and an upward-sloping support line.
This pattern shows a strong tendency to break upward out of the current range.
For Solana, there’s an additional indicator which makes the case for a breakout even stronger — an RSI golden cross.
The RSI (Relative Strength Index) is a line indicator that tells if an asset is overbought or oversold.
This indicator having a golden cross shows that the asset is getting ready for an upward move, meaning it is oversold.
According to CryptoJack, the combination of these indicators suggest that a huge bullish move lies ahead of Solana soon.
While currently trading at $224, another analyst predicts the price could be heading to $250, where it will be facing the next major resistance.
More with ETF news
One factor that could potentially push the price of Solana higher is the news of a potential ETF approval which is expected later this month.
Earlier this week, a Bloomberg analyst said the odds of approving a Solana as well as other ETF has reached 100%.
This can potentially boost the confidence of institutional investors in the asset and make it more attractive. If the ETF approval happens, Solana may be headed to higher prices than ever seen.
What do you think?
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