SOL surpasses $150 for the first time since October 1.
Open interest in the derivatives market mirrors the price uptrend.
Technical indicators suggest a potential 32% surge to $201.55.
Solana (SOL) has demonstrated remarkable resilience, breaching the $150 threshold for the first time since October 1, signaling a potential reversal of its recent downtrend. This resurgence comes after a tumultuous start to the month, where initial optimism gave way to a sharp decline to $136.90 just days after reaching $160.
The current price action, with SOL trading at $155, suggests that the altcoin may be breaking free from the descending trendline that has constrained its movement since late July. This latest attempt marks the third try at overcoming key resistance levels, following failed breakthroughs at $185 in late July and $160 in late September.
Open Interest complement’s Solana’s price recovery
Complementing SOL’s price recovery, the Open Interest (OI) in the derivatives market has mirrored the altcoin’s upward trajectory. OI, a crucial indicator of speculative activity, has returned to its October 1 peak of $1.89 billion, coinciding with SOL’s initial rally.
This alignment of price action and rising OI typically signals increased market participation and growing confidence in a sustained bullish trend.
Source: Santiment
Technical analysis of the daily chart reveals SOL approaching the $159.42 resistance level. The Relative Strength Index (RSI) shows an upward trend, crossing above the 50.00 signal line, indicating bullish momentum.
Additionally, the Supertrend indicator has flashed a buy signal, with its green area positioned below Solana’s price, further supporting the bullish narrative.
Should these positive indicators hold, Solana could potentially surge by 32%, targeting the $201.55 level. However, market participants must remain cognizant of potential hurdles.
