key point:
Weighted sentiment hit 1.79, indicating strong market confidence.
Open interest of $1.7 billion supports the price increase of SOL.
The EMA crossover and the RSI suggest that a move to $100 is possible in a few months.
Solana (SOL) enthusiasts are in for an exciting ride as the cryptocurrency recently surged by 8.07% in the past 24 hours, pushing its value past the $60 mark. Prior to this surge, SOL’s upward trajectory briefly paused as it dropped to $56.21.
As shown by the weighted sentiment, the recovery in SOL’s price over the weekend has reignited optimism among traders who favor Solana. On November 19, the weighted sentiment index reached an impressive 1.79 before declining slightly to 1.20.
FOMO (Fear of Missing Out) appears to be driving SOL’s momentum, with weighted sentiment reaching its highest level since 2023. This indicates bullish sentiment in the broader market and highlights the growing FOMO among market participants anticipating an upward trend in SOL.
SOL is expected to break through $100
As positive sentiment permeates the market, various predictions have emerged speculating that SOL could surge to $100, even surpassing its previous all-time high. However, it is important to recognize that positive sentiment alone may not be enough to push Solana to new highs.
Despite SOL's strong performance throughout the year, it becomes critical to monitor its open interest. Open interest reflects the value of open contracts in the derivatives market and is a measure of market participation. Currently, open interest is $1.7 billion, which is consistent with the upward trend in prices, indicating strength supporting the upward trend.
Analyzing SOL/USD using the exponential moving average (EMA) via the four-hour chart, the 20 EMA (blue) is above the 50 EMA (yellow), suggesting that SOL’s uptrend could continue. However, the relative strength index (RSI) is at 54.24 at press time, adding a layer of complexity. If the RSI rises further, SOL could see its initial resistance around the $65 area.
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