Solana may revisit $80 level before big leap, analysis
Recently, on January 24, 2024, the Solana Foundation announced the launch of token extensions, a major upgrade for the SPL token standard. Despite this significant upgrade in Solana, its token did not experience much gain in the last 24 hours.
Solana’s decent gain amidst recent development
The latest version of the Solana token program was developed in collaboration with established, regulated institutions. It features a standardized interface for seamless integration with Solana applications, enabling the development of specialized tools and functions at the token level.
In the midst of positive developments within the Solana Network and considering the performance of other cryptocurrencies across the digital asset landscape, Solana’s SOL price is also struggling to gain momentum.
Currently, Solana’s SOL is trading near $88, and in the last 24 hours, it experienced over 1.7% upside momentum. Looking at SOL over a more extended period, in the last 7 trading days, it experienced over 11% downside momentum, whereas in the last 30 trading days, it faced over 24% downside momentum.
Solana’s technical analysis and its price momentum
In addition to the current price momentum, according to expert technical analysis, Solana’s SOL is at a crucial level. On the higher time frame (daily), Solana appears bullish, but on the shorter time frame (4 hours), it looks bearish.
Solana’s SOL in a 4-hour time frame appears bearish as it forms a lower high and lower low, mirroring the bearish movement seen in Bitcoin’s price, which is considered a bearish sign. In addition to this price action, technical indicators also signal bearishness, as evidenced by the formation of a bearish golden crossover, in the future we may see the price to $80 level. The combination of both price action and technical indicators highlights a bearish movement in the 4-hour time frame.
On the daily time frame, however, SOL indicates a bullish sign as it recently found support at its crucial level of $77. It has also formed a morning star candlestick pattern on a major support level, further confirming its bullish stance. Despite these bullish indicators, another price action pattern supporting bullishness is its flag and pole structure.
Meanwhile, Solana-based token BONK, along with other cryptocurrencies and meme-coins, has experienced a downside momentum of over 2%, currently trading near $0.0000106. Over the last 30 trading days, BONK has witnessed a substantial drop of over 44%.