Solana (SOL) is the fourth largest cryptocurrency by market capitalization and is expected to set a historical high after breaking through key resistance levels.
With cryptocurrency supporter candidate Trump winning the US presidential election, the sentiment in the entire cryptocurrency sector has shifted from a downward trend to an upward trend, leading to a breakout for Solana (SOL) and other cryptocurrencies.
Solana technical analysis and upcoming levels
SOL has experienced a significant price surge, leading to a breakout from the sloping resistance level it has faced since March 2024. Previously, whenever the asset's price approached this level, it encountered selling pressure and price declines.
However, with the change in sentiment and the breakout of this level, it is now very likely that SOL will surge significantly and reach a historical high of $259.90 in the coming days. Currently, the asset's trading price is above the 200-day Exponential Moving Average (EMA), indicating an upward trend.
In addition to this breakout, if SOL's daily closing price remains above $205, its upward momentum may further strengthen, unless it may take longer to reach the historical peak.
On-chain indicators bullish
On-chain indicators further support this bullish outlook. At the time of writing, the long/short ratio for SOL is 1.05, indicating strong bullish sentiment among traders.
Additionally, SOL's open interest has increased by 18% in the past 24 hours, further indicating a positive outlook. The increase in open interest suggests that derivatives traders are establishing new positions, expecting prices to rise or fall depending on market sentiment.
By combining on-chain indicators with technical analysis, it seems that bulls currently dominate the asset and may help SOL reach historical highs in the coming days.
Current SOL price
As of now, the trading price of SOL is close to $186, with a price increase of over 12% in the past 24 hours. During the same period, its trading volume surged by 185%, indicating an increase in participation from traders and investors after the breakout.
