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Solana (SOL) Price Gearing Up For A Run To All Time Highs, Here’s Why

Solana (SOL), the sixth-largest crypto token by market capitalization, fell slightly on Tuesday after a stellar rally over the past month. But the declines indicate that the token is likely gearing up for a run towards all-time highs.

SOL price fell as much as 7% to $126.94, and was currently trading at $133.26. It was also nearly 50% below a record high of $258.96, hit in November. Still, the token is among the best-performing altcoins over the past month, having surged 38% since hitting seven-month lows in March.

SOL price technical indicators run bullish

Popular crypto commentator @SmartContracter pointed out that SOL’s Bitcoin (BTC) pair showed that an extended W pattern recovery was still underway. The token is likely set for more, albeit intermittent gains that will see it rise to 2022 highs.

SOL

The token is likely to see sharp consolidation after this rise, but will then challenge its lifetime highs.

After this 5 wave rise I think it’ll have a fairly significant 20%+ pullback before it runs for ATH

-SmartContracter

Technical indicators for SOL’s USD pair show that $135 is its next resistance level, given that the token has struggled to consistently keep above that point. A concrete breach is likely to indicate much more gains.

SOL had indicated a Morningstar pattern in its mid-March recovery.

Institutional trading, PoS interest boost Solana

A bulk of the SOL’s latest rally was driven by rising institutional interest. The token was included in an exchange-traded product offered by European asset manager CoinShares, and makes up nearly a quarter of weightage in a new fund launched by Grayscale.

Ethereum’s impending shift to a proof-of-stake (PoS) token has boosted interest in the medium, supporting SOL and its peers such as Cardano (ADA) and Algorand (ALGO). SOL is the largest PoS token,

The prospect of blockchain gaming on Solana also supported the token, after South Korea’s Krafton, developer of the wildly popular PUBG videogame, partnered with Solana Labs.

Disclaimer

The presented content may include the personal opinion of the author and is subject to market condition. Do your market research before investing in cryptocurrencies. The author or the publication does not hold any responsibility for your personal financial loss.

About Author

With more than five years of experience covering global financial markets, Ambar intends to leverage this knowledge towards the rapidly expanding world of crypto and DeFi. His interest lies chiefly in finding how geopolitical developments can impact crypto markets, and what that could mean for your bitcoin holdings. When he isn’t trawling through the web for the latest breaking news, you can find him playing videogames or watching Seinfeld reruns.
You can reach him at [email protected]

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