Solana started a new rally above the $240 resistance level. SOL price is back above $2,500 and may aim for a new increase above the $262 area.
- SOL price started a new increase above the $240 and $250 levels against the US Dollar.
- The price is now trading above the $250 level and the 100 hourly simple moving average.
- There was a break above the major downtrend line with resistance at $245 on the hourly chart of the SOL/USD pair (data source from Kraken).
- The pair could start a new increase if the bulls cross the $262 area.
The price of Solana is back $250
Solana price formed a base above $225 and started a good upward movement, like Bitcoin and Ethereum. SOL managed to climb above the $235 and $240 resistance levels.
There was a break above the major downtrend line with resistance at $245 on the hourly chart of the SOL/USD pair. The pair even crossed the 50% Fibonacci retracement level of the downward move from the high of $272 to the low of $230.
Solana is now trading above the $250 level and the 100 hourly simple moving average. On the upside, the price is facing resistance near the $262 level or the 76.4% Fibonacci retracement level of the downward move from the $272 swing high to the $230 low.
The next major resistance is near the $272 level. The main resistance could be at $280. A successful close above the $280 resistance area could pave the way for another steady increase. The next major resistance is $292. Any further gains could send the price towards the $300 level.
Another drop in SOL?
If SOL fails to rise above the $262 resistance level, it could start another decline. Initial support on the downside is near the $250 area and the 100 hourly simple moving average.
The first major support is near the $240 level. A break below the $240 level could send the price towards the $230 area. If there is a close below the $230 support level, the price may fall towards the $215 support level in the near term.
Technical indicators
Hourly MACD – The MACD for SOL/USD is gaining pace in the bullish zone.
Hourly RSI (Relative Strength Index) – The RSI for SOL/USD is above the 50 level.
Key Support Levels – $250 and $240.
Major resistance levels – $262 and $272.
