Solana Struggled to Clear $160, But Could See 20% Uptober and Push $200 Psychological Limit
Solana (SOL) price has struggled to break past $160 in the past two months. Traders believe that the “Uptober” bear could reverse the situation, which could lead to a 20% increase in SOL price. This could allow it to approach the important psychological threshold of $200.
Rally Expected for Solana
Solana’s price could fluctuate depending on many factors, including general market signals. In an interview with BeInCrypto, Cypher Capital President Bill Qian said that a lack of liquidity is a major problem. “Solana is stuck between $186 and $120 due to insufficient liquidity in the overall cryptocurrency market. The Fed’s rate cut cycle could provide additional liquidity in October, but that alone may not be enough to break Solana out of its range. A more important catalyst could be an altcoin season, with speculative funds and attention shifting from other chains to the Solana ecosystem. If capital moves into Solana’s vibrant DeFi, NFT, and gaming sectors, it increases the likelihood of a breakout from this consolidation range,” Qian said.
Crypto Research Strategist Matt Mena shares a similar view. Mena noted that Solana is attempting to test $200 without being affected by negative macro catalysts like the Japanese Yen Unwind Trade. “The Federal Reserve is expected to continue cutting interest rates, with two more cuts planned by the end of the year. Renewed risk appetite could create a more favorable environment for riskier assets like Solana,” he said.
Additionally, the anticipated launch of the Frankendancer client on Solana’s mainnet promises to exceed 1,000,000 tps with Firedancer scheduled for release in 2025. This technical advancement will solidify Solana’s position as a high-performance Layer 1 blockchain and could increase investor interest.
Macro momentum for Solana is also showing positive signals. The Moving Average Convergence Divergence (MACD) indicator shows bullish momentum increasing since late September. This momentum is expected to last for 42 days and will allow SOL to rise significantly in October.
Historically, when bullish momentum prevails, Solana could see sustained bullish moves. If this trend follows previous patterns, SOL could rise to $186 by the end of October.
Solana is currently trading at $155, which is being tested as support. The main hurdle is $160, which has been a strong resistance for the past two months. If Solana can close above $160, it will be a significant achievement and a potential bullish breakout.
