As the crypto market faces profit-taking with several cryptocurrencies dipping across the board, Ali Martinez, a crypto analyst, has predicted a breakout scenario for the fifth largest cryptocurrency by market cap, Solana (SOL).
This scenario, if it plays out, might see Solana reaching as high as $175, a near 12% increase from its current trading price. This pathway, however, seems to be not smooth as it appears, as this scenario might need Solana to surpass some key resistance levels.
At the time of writing, SOL was down 2.02% in the last 24 hours to $156, mirroring the broader dip on the general crypto market.
At the start of the week, Ali highlighted a key pattern on Solana's price chart. "Solana appears to be forming a W pattern, which suggests SOL will surge toward $174," Ali wrote on July 16.
Basing his inferences on this earlier prediction, Ali identified the $162-$164 resistance range as a crucial barrier for Solana. If SOL manages to break through this range, the next target for Solana might be $175.
If #Solana surpasses the $162-$164 resistance range, the next target for $SOL is $175! pic.twitter.com/mxq0Z4F2pd
— Ali (@ali_charts) July 18, 2024
In a recent tweet, Ali wrote, "If Solana surpasses the $162-$164 resistance range, the next target for SOL is $175."
Solana price action
Since the mid-April washout, Solana has maintained trading within a broad range, with support at $115 and resistance at $188.
Breaking past the $162 and $164 levels, as highlighted by Ali, might, however, be crucial for initiating a bullish breakout that could lead to the $175 target and, especially, to the resistance cap of the current range at $188.
card
The formation of a "W" pattern on Solana's chart, a bullish pattern that bears a similarity to the double bottom pattern, might suggest that Solana might be poised for a rebound amid the market dip.
However, in the event of further declines, Solana's intermediate support lies at $148, or the daily SMA 50. If it falters, major support is envisaged between $121 and $122.
