Solana (SOL) recovered from yesterday’s slight pullback, although the public crypto market stamp down today. SOL which has been up in the last week saw a 28.44% increase during this period. This increase may be due to the combined economic factors and Solana’s growing utility among crypto users.
What is Solana Price Driving?
The Solana network is gaining more attention from the increased awareness and adoption of crypto among individuals and institutions investors. The network has launched its plans for 2023, creating excitement in the online community.
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SOL network providing developer access and a framework to build on DApps on its blockchain. For example, Phantom, a crypto wallet, hosted on the Solana blockchain. The wallet supports decentralized financial, staking, and NFT transactions for Solana users.
also, SolanaMobileon Twitter, announcing its intention to launch Solana Mobile Stack and phone Saga. The mobile phone will bring the Solana blockchain to the user’s fingertips. Users are eager for the launch of the device, which is scheduled for early this year.
Additionally, as an altcoin, Solana correlates with bitcoin in price action. Become, Bitcoin is new public meeting and other economic factors may affect the price of SOL.
Macroeconomic factors affecting SOL prices include a low Consumer Price Index (CPIhistorical value in December 2022. The CPI records the overall change in consumer prices over a period of time. A combination of these factors may be responsible for the surge in SOL prices over the past few weeks.
Solana Price Prediction: Will SOL Break Resistance?
SOL recovered from yesterday’s slight retreat, trading at $21.28. Support levels are $19.60, $20.09, and $20.75, while resistance levels are $21.90, $22.40, and $23.05. SOL trades below 50 days Simple Moving Average (SMA) and the 200-day SMA on the weekly chart. These signs indicate a bearish trend or a slight reversal in SOL price going forward.
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At Relative Strength Index (RSI) close to the oversold area at 43.04 and may continue to decline if the bears maintain their power.
At Moving Average Convergence/Divergence (MACD) below the signal line and gives off a negative value, indicating a bearish reversal despite the rally.
The price of SOL is likely to decline and touch the $19.69 support. The next rally will be above the first resistance level of $21.90 in the coming days.
At press time, the SOL price was trading at $21.42. Trading volume fell by more than 50% in the last 24 hours to $638.8 million.
Option images from Pixabay and charts from TradingView.com