[Solana rebounds strongly, rising 15% against Bitcoin amid high sentiment]
The fifth-largest asset by market capitalization, SOL’s price performance is particularly affected by crowd sentiment. If market optimism persists, the recent positive sentiment could push SOL further higher. Santiment’s chart provides a comparative analysis of SOL price versus Bitcoin (BTC) and highlights sentiment-driven price action.
Sentiment ratios are shown as blue shaded areas on Santiment charts. Significant swings in sentiment are associated with SOL's price movements, particularly within the identified "Crowd Greed" and "Crowd Fear" zones. On July 28, SOL’s price fell after a high sentiment peak in the “crowd greed” zone. After entering the "mass fear" zone on July 21 and August 4, the price of SOL generally increased.
For example, after entering fear territory around July 21, the price subsequently increased, reflecting the impact of sentiment on SOL's performance. The rebound from July’s fear levels shows strong support for Solana and indicates possible continued bullish momentum. The SOL/BTC price ratio showcases the performance of SOL relative to BTC, highlighting key events where sentiment influenced price action. SOL has gained 15% against BTC since the market bottomed two days ago, showing a strong recovery.
Technical analysis supports this thesis, with SOL price recently rebounding to the mid-Bollinger Bands, reflecting increased buying pressure. The relative strength index (RSI) is at 46.43, indicating a recovery from oversold conditions, further supporting bullish sentiment. Notably, the MACD and signal lines are showing signs of a potential bullish crossover, suggesting that prices may continue to rise.
According to previous analysis by The Crypto Basic, despite the market collapse, Solana showed bullish strength on the support trend line, rallying from $110 to the $150 level, registering a 40% recovery. Currently trading at $153, Solana formed a second bullish candle, showing a V-shaped recovery with the goal of re-challenging the broken trendline above.
