Solana is gaining pace above the $35 resistance against the US dollar. SOL price remains supported and could aim for another rally towards $38.
- SOL price started a major rally above the USD 32 resistance against the US dollar.
- The price is now trading above $35 and the 100 simple moving average (4 hours).
- A major bullish trendline is forming with support near $33.30 on the 4-hour chart of the SOL/USD pair (Kraken data source).
- The pair is up almost 10% and could move further towards the $38 resistance.
Solana price increases by 10%
After a significant upward move, Solana rose above the $30 pivot level. SOL gained bullish momentum after forming a base above the USD 30 and USD 32 levels.
It is now outperforming Bitcoin and Ethereum. There was a clear move above the $35 resistance zone. A new multi-week high is formed near $36.48 and the price is now consolidating gains above the 23.6% Fib retracement level of the upward move from the $32.34 swing low to the $36.48 high.
SOL is now trading above $35 and the 100 simple moving average (4 hours). There is also a major bullish trendline forming with support around $33.30 on the 4-hour chart of the SOL/USD pair.
Source: SOLUSD on TradingView.com
On the upside, immediate resistance is around the $36.50 level. The first major resistance is around the $36.80 level. A successful close above the $36.80 resistance could set the pace for a bigger move higher. The next major resistance is near USD 38.00. Any further gains could send the price towards the USD 40.00 level.
Are the dips limited in SOL?
If SOL fails to recover above the USD 36.50 resistance, a downside correction could occur. The initial downside support is near the $34.40 level.
The first major support is near the $33.30 level, the trendline zone, and the 76.4% Fib retracement level of the upward move from the $32.34 swing low to the $36.48 high. If there is a close below the USD 33.30 support, the price could fall towards the USD 32.00 support in the near term.
Technical indicators
4-hour MACD – The MACD for SOL/USD is gaining speed in the bullish zone.
4-hour RSI (Relative Strength Index) – The RSI for SOL/USD is above the 50 level.
Major support levels – USD 34.40 and USD 33.30.
Major resistance levels – $36.50, $36.80 and $38.00.
