Solana Price Analysis: SOL Soars 8% in a Week as the Bulls Eye the $200 Mark

The Solana (SOL) price has slipped almost 1% today, with the SOL/USD trading at $176 during press time. Despite the slight dip, its 24-hour trading volume has soared 5% to $2.99 billion, suggesting intense market activity among traders and investors. Solana has, however, boasted a positive movement in the last 7 days as it has surged over 8%, pushing the crypto’s monthly performance deeper into the green zone. As a result, the SOL price is up over 30% for the past month.

Meanwhile, the global asset management firm Franklin Templeton Investments has taken to the X platform and mentioned its bullish stance on Solana. The team has expounded, saying that Solana has emerged as a significant player in the space. 

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Besides Bitcoin and Ethereum, there are other exciting and major developments that we believe will drive the crypto space forward. Solana has shown major adoption and continues to mature, overcoming technological growing pains and highlighting the potential of high-throughput,…

— Franklin Templeton Digital Assets (@FTI_DA) July 23, 2024

Solana Statistical Data

Based on Coinmarketcap data:

• SOL price now – $176
• SOL market cap – $82 billion 
• SOL total supply – 580 million 
• SOL circulating supply – 464 million
• SOL ranking – #5

The Solana price, like other cryptocurrencies, is experiencing a slight pullback, led by the king of cryptocurrencies(BTC), which is also down almost 1% at press time. On July 25, Solana faced rejection at around the $185 mark, forcing the price to drop consistently. The bulls have, however, found strong support at $171, which may help the buyers propel the price above the resistance key.

With the bigger picture in the market flashing bullish, let us dive into the technical outlook to see how high the bulls can jump, considering the Ethereum ETFs are live, which could drive a new wave of investments across the cryptocurrency market.

Solana Price Technical Analysis

The SOL price trades well above the 50-day(in green) and 200-day(in blue) Simple Moving SAverages (SMA). This suggests that the bulls are dominating the market, hence tilting the odds towards the upside. Moreover, the Relative Strength Index(RSI) reinforces the bullish outlook, as it has its strength at 55. This is above the 50-mean level, indicating increased buying pressure in the SOL market. Notably, if the buyers initiate a buy-back campaign at this level, the RSI could jump to the 70-overbought zone, intensifying the bullish sentiment. 

On the other hand, the Moving Average Convergence Divergence (MACD) in blue has crossed below the signal line (orange band), invalidating the bullish picture. However, the momentum indicator teases with a buy signal, which will be manifested if it crosses above the signal line. In such a scenario, the bulls could dominate the market, and traders would have a chance to buy more Solana. 

Will the Solana Bulls Hit the $200 Mark?

Based on the technical analysis in the 4-hour chart timeframe, the Solana price has entered a consolidation phase between $171 and $185. This short-term period of sideways trading might be an accumulation period for a big move soon. If the bulls initiate a buying opportunity at this level, it could lead to Solana’s price breaking through the $185 barrier. Moreover, a decisive 4-hour candle closing above this threshold might give the altcoin the foundation to soar higher in the next 24 hours. In a highly bullish case, SOL could rise to as high as $200 in the coming days. 

On the flip side, if the bears decide to take early profit bookings as the Solana price consolidates, the SOL price could drop. In such a case, the token could be at risk of losing the $172.15 support, invalidating the bullish sentiment.

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