$SOL
Solana (SOL) Accumulation Is a Strong Short-Term Strategy According to This Indicator
Solana (SOL) recently dropped to $143, raising concerns about its recovery under current market conditions. However, based on Solana’s historical performance and market trends, this could be a promising opportunity for long-term investors to accumulate SOL at this level.
Solana Expected Gains
Solana’s Sharpe ratio, a measure of risk-adjusted returns, shows a familiar pattern. Every time the ratio turns significantly negative, Solana’s price rises. This week, the Sharpe ratio dropped back into negative territory, hinting at a possible price rally.
Historically, a negative Sharpe ratio has indicated that the altcoin is oversold, attracting buyers and driving the price higher. This pattern could repeat, providing investors with an opportunity to accumulate SOL ahead of the next potential rally. As the Sharpe ratio indicates, current market sentiment suggests that Solana could see renewed momentum in the coming weeks.