Since October 21, Solana’s price has been in an aggressive bullish trend, which has seen its prices surge to almost 30 per cent before dropping to the current price level of $31 following three consecutive bear runs. However, in today’s trading session, the bear run looks poised to end, with Solana already up by 3 per cent and showing signs of a further push to the upside throughout the session.
Long termed as the Ethereum-killer, Solana has suffered a myriad of issues throughout the year, among them security lapses and constant outages on their network. Most of these outages have been a result of misconfigured nodes, bugs in Solana’s code and bot attacks from cybercriminals. These problems have, in most cases, been reflected in the markets, as seen in the sharp price drop every time such events occur.
Solana, with a year-to-date drop of 81 per cent, has also been affected by the current bearish market of the cryptocurrency trend. This has been due to its significant correlation with the industry. Therefore, in most instances, it has traded in tandem with the industry’s bearish trend, affecting its growth throughout the year.
As seen above, the past few weeks have been aggressively bullish, and at some point, Solana’s price had risen by almost 30 per cent. However, the past three trading sessions have seen the by 8 per cent.
In today’s trading session, however, the bullish trend looks to be resuming. Therefore, based on the long-term trend of the past few weeks, I expect the resumption to be a price reversal. There is a high likelihood that we might see the bullish trend pushing Solana’s price past the $40 price level. However, a trade below the $27 support level will invalidate my analysis and signal a possible bear trend.
This post was last modified on Nov 03, 2022, 11:38 GMT 11:38