Is It Possible for Solana to Reach $171 Next Week After a 21% Gain?
The SOL token, issued by Solana, has been an asset class highlight this week, rising more than 21% over the last week. The market analyst saw a bullish signal on the daily chart, which coincides with this upswing.
The 'Huge pennant,' a pattern often indicating bullish momentum, is now being formed by SOL, according to CryptoBusy. In the past, the pennant pattern was formed when SOL's price hit a low of $116.98 due to strong negative momentum. After that, the price consolidated and formed a bullish pattern.
Since then, analysts have predicted that SOL token value would soon begin to rise. At the same moment, as of this writing, one SOL token was worth $167.98, an increase of 5.07% over the previous day.
Despite small declines in the global crypto market value earlier today, SOL's price behavior shown power and tenacity as it remained above the $160 barrier. Investors are now watching SOL's performance attentively to see whether it can maintain its strong momentum in the future days, thanks to this good price increase.
But if there were any questions, the 20-day Simple Moving Average (SMA)—which is below SOL's price at $145.87—projects a strong short-term increase. If SOL stays above the 20-day simple moving average (SMA), it might break above its present resistance at about $171 by week's end.
If the price of SOL breaks out of this range, it may continue to rise until it reaches the next level of resistance, which was last seen at $189 on May 21. If the top band of the pennant chart pattern is strong enough to break through, SOL's price can fall to $159 to find support, on the other hand.
Nonetheless, if this support fails, SOL can try to resume its bull run by aiming for the 20-day simple moving average (SMA).
