On April 18, 2024, it appears that Solana (SOL) is poised to break its bearish streak and experience upward momentum. There are several factors supporting Solana’s upcoming bullish move. These factors include the rise in Solana’s open interest, support at a crucial level, a bullish chart pattern, and continuous accumulation of SOL by crypto whales. Together, these factors highlight the bullishness of Solana’s SOL.
Open Interest surge in Solana
At the time of writing, Solana’s SOL open interest for the first time after several periods has become positive and surged by 4.5% in the last 4 hours and 2.5% in the last 24 hours, currently standing near $1.85 billion according to Coinglass. While the open interest data of other top cryptocurrencies like Bitcoin (-1.5%) and Ethereum (-2.86%) are still negative, indicating that investors are now preferring SOL over BTC and ETH.
Solana’s technical analysis and key levels
In addition to the above bullish factors, expert technical analysis suggests that Solana’s SOL on the daily timeframe is finding support from a bullish trendline. Historical data indicates that when SOL reached this trendline, it experienced massive upward momentum. For example, on January 23, 2024, when SOL found support at this trendline, it experienced a price surge of over 23%, and on February 24, 2024, it surged more than 90% after finding support again.
Source: TradingView
Looking at the historical data, there is a similar bullish expectation at the current time, suggesting that SOL’s price could surge by a massive 50%, the same move as it showed in the past, and reach $200 again. However, if Solana’s SOL on the daily timeframe closes below this strong bullish trendline, there is a high possibility that SOL could fall to the $102 level.
In addition to all these bullish factors, over the last 24 hours, a significant amount of over $3 billion worth of SOL has moved from wallets, indicating investor and institutional participation as the data shared by on-chain transaction tracker Whale Alert.
Currently, Solana’s SOL is trading near $133, and in the last 24 hours, it experienced a decent 1% upside momentum. Looking at SOL’s performance over a longer period, it experienced a massive 22% downside momentum in the last 7 days, and nearly 35% downside momentum in the last 30 days.
Solana, the world’s 5th biggest cryptocurrency, experienced a significant and continuous price fall of over 33% in April 2024. However, Solana’s SOL is not the only cryptocurrency that experienced a price fall in April; other top cryptocurrencies like Bitcoin, Ethereum, Cardano, and others also experienced similar declines.
