Solana rose above the $50 resistance against the US dollar. SOL price is consolidating gains above USD 55 and could extend its rally above USD 65.
- SOL price started a major rally above the USD 50 resistance against the US dollar.
- The price is now trading above $55 and the 100 simple moving average (4 hours).
- A major contracting triangle is forming with support near $51.00 on the 4-hour chart of the SOL/USD pair (Kraken data source).
- The pair could resume its rally if it crosses the $60.00 resistance zone.
Solana price is set at $75
In recent days, Solana saw a big rally above the $40 level. SOL gained bullish momentum and overcame many hurdles near $50, outperforming Bitcoin and Ethereum.
It even rose above the USD 55 and USD 60 levels. A new multi-week high was formed around $63.99 before the price started a small downward correction. There was a move below the USD 60 level. The price fell below the 23.6% Fib retracement level of the upward move from the $38.05 swing low to the $63.99 high.
SOL is now trading above $55 and the 100 simple moving average (4 hours). A major contracting triangle is also forming with support near $51.00 on the 4-hour chart of the SOL/USD pair.
Source: SOLUSD on TradingView.com
On the upside, immediate resistance is around the $60.00 level. The first major resistance is around the $65.00 level. A successful close above the $65.00 resistance could set the pace for a bigger rise. The next major resistance is near USD 70.00. Any further gains could send the price towards the USD 75.00 level.
Are the dips limited in SOL?
If SOL fails to recover above the USD 60.00 resistance, a downside correction could occur. The initial downside support is near the $55.00 level.
The first major support is near the $51.00 level, the trendline zone and the 50% Fib retracement level of the upward move from the $38.05 swing low to the $63.99 high. If there is a close below the $51.00 support, the price could fall towards the $45.00 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 55.00 and USD 51.00.
Major resistance levels – $60.00, $65.00 and $75.00.
