Solana Continuing Its Bullish Trend from 2021, Crypto Expert Reveals

An expert has detailed how the price action of Solana (SOL) is resembling the same pattern that caused a bullish breakthrough in 2021.


The graph clearly shows that the three-day price of Solana has followed a pattern similar to that of 2021. In addition, the present Relative Strength Index (RSI) is quite close to the level it was at then.

The Relative Strength Index (RSI) is a technical analysis (TA) indicator that analyzes the recent size and speed of price fluctuations for SOL. One common application of this momentum indicator is to check whether the asset's pricing is reasonable.

If the indicator's value is higher than 70, it might indicate that the cryptocurrency's price is increasing too rapidly, leading to overvaluation. Therefore, it's possible that this area will see further adjustments.

Conversely, if the indicator is below 30, it may indicate that the asset is becoming oversold, which might indicate that a bottom is about to emerge in its price.

Looking at the chart, we can see that Solana's RSI is now hovering around 40, which indicates that the asset could be somewhat undervalued. Curiously, the cryptocurrency had a significant bullish breakout in 2021 at the same RSI level.

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