Solana (SOL) experienced a significant surge in price on October 29, hitting a three-month high of $182 as bullish momentum swept through the market. However, the fifth-largest cryptocurrency by market capitalization faced a sharp rejection at this resistance level, falling by over 9% and currently trading at approximately $163.15. This price correction has sparked mixed opinions from analysts, offering divergent outlooks for Solana’s near-term future.
Solana’s Recent Price Struggles And Market Sentiment
The surge to $182 was short-lived, with Solana’s price quickly retracting as global economic conditions weighed heavily on investor sentiment. Analyst Trader-Saylor predicted the pullback, pointing to a more cautious market outlook. Factors such as global economic unrest, surging inflation, and the Federal Reserve’s hesitance to lower interest rates were highlighted as key drivers behind the market’s downturn.
Despite this, Trader-Saylor remained cautiously optimistic, stating that Solana could still retest the $180 level if it holds crucial support in the near term. In a November 4 TradingView analysis, the analyst pinpointed a critical support zone around $151.7 for Solana, which aligns with Bitcoin’s long-term uptrend. If Solana’s price holds steady and attracts renewed investor interest, a bounce from this support could push the altcoin back toward the $180 resistance level.
Key Support Level for Solana
In his analysis, Trader-Saylor emphasized the importance of the $151.7 support level, noting that a correction of about 7.9% from the current market price would bring Solana into this zone. If the cryptocurrency finds support here and market conditions improve, a bullish push toward the $180 mark remains feasible. This level of support is crucial for Solana to maintain its upward trajectory, as failing to hold could result in further downside pressure.
Diverging Market Views – Bullish Versus Bearish
While Trader-Saylor foresees a potential correction, another analyst, Jappier 24, has a more optimistic outlook for Solana. In a recent TradingView analysis, Jappier 24 argued that Solana’s recent consolidation is a market strategy designed to catch traders off guard, with the higher timeframe structure still looking bullish. The analyst speculates that Solana is on the brink of an imminent breakout from a bullish expanding triangle on the 4-hour timeframe.
According to Jappier 24, this breakout could propel Solana toward $174.12 in the short term, with the next target set at $194.53. The analyst even suggested that Solana could reach $200 by the end of November if the bullish momentum continues. This prediction offers a stark contrast to the more cautious stance of Trader-Saylor, highlighting the ongoing uncertainty in the market.
Also Read: Solana Breaks Record With 123 Million Active Addresses, Driven By Meme Coins And Low Fees
Solana’s Impressive Annual Performance
Despite recent setbacks, Solana remains one of the most impressive performers in the cryptocurrency market. Over the past year, Solana has surged by an astounding 292%, far outpacing many high-caliber assets. This performance underscores the potential for Solana to bounce back from its current correction and continue its upward trend, provided it can navigate the broader economic headwinds.
As Solana continues to battle with resistance and support levels, investors and analysts alike are keeping a close watch on its next move. Whether it retests the $180 level or faces further downside, Solana’s performance remains a key focal point in the ever-evolving cryptocurrency landscape.
Disclaimer: The information in this article is for general purposes only and does not constitute financial advice. The author’s views are personal and may not reflect the views of Chain Affairs. Before making any investment decisions, you should always conduct your own research. Chain Affairs is not responsible for any financial losses.
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