Solana (SOL) Price Analysis: Will SOL Reclaim $160 This Week?

As the cryptocurrency market continues to experience volatility, Solana (SOL) has emerged as a focal point of interest for traders and investors alike. With its price action teetering on the edge of a significant breakout, market participants are closely watching for signs of a potential surge. 

SOL Price Analysis

Solana's price has been consistently charting lower highs and lows, indicating that bearish forces still dominate the market. Despite this, bullish momentum is gaining traction, with buyers increasingly stepping in to support a steep upward trend. 

The possibility of a bullish crossover looms, which could sustain this upward momentum and propel SOL above $160 in the near future. SOL is currently trading at $145 – according to data from Coinmarketcap.

The above chart shows that the current price of SOL is having a lower support at $144 while surging over $152 in the early-market opening hours. As traders are expecting a strong from here, such scenario would likely push SOL price above $150 over after-market trading sessions. 

Will SOL Reach $200?

Historically, SOL has breached the $200 mark on several occasions, suggesting a potential breakout from the current bearish consolidation. However, intensified bearish activity previously dragged the price down. Now, following a brief downtrend, SOL appears poised for a renewed rally as technical indicators start to turn bullish. 

The Ichimoku cloud levels are converging, signaling a potential bullish crossover. Additionally, the RSI has recovered from its recent lows, climbing back to mid-range levels despite intermittent selling pressure. This suggests that Solana could sustain its upward movement and approach the critical resistance zone between $152 and $158.

The recent formation of a couple of hammer candlesticks further indicates diminishing selling pressure, reinforcing the likelihood of an upward move. Should SOL surpass this resistance, it could clear a significant hurdle at $166. 

However, the drop in trading volume raises concerns about the sustainability of this price action. A surge in buying volume could attract more bullish interest, potentially driving SOL not only past $160 or $180 but possibly nearing the $200 level.