Solana (SOL) Records Impressive Gains Amidst Market Recovery

Most cryptocurrencies printed gains over the past 24 hours of trading, and as a result, the global market cap saw an increase of 1.91% over this period of time. The last 24 hours were also kind to the top 10 cryptos by market cap, and one of the biggest gainers was the Ethereum-killer Solana (SOL).

Data from CoinMarketCap indicated that SOL was trading hands at $21.24 after a 24-hour price increase of more than 5%. This price boost was, however, not enough to pull SOL’s weekly performance back into the green as SOL was down 6.26% over the past seven days.

SOL’s success throughout the past day did allow it to strengthen against the market leaders, Bitcoin (BTC) and Ethereum (ETH), by about 3.87% and 3.22% respectively. On the other hand, the altcoin’s 24-hour trading volume experienced a 6.94% drop, and stood at $366,983,467.

4-hour chart for SOL/USDT (Source: TradingView)

SOL’s price was able to break above the 9 and 20 EMA lines on its 4-hour chart in the past 24 hours. As a result, the altcoin’s price recently reclaimed a position above the $21 support level, where it continued to trade at press time.

Notably, the 9 EMA line on the 4-hour chart crossed bullishly above the longer 20 EMA line this morning. This signalled that SOL’s price had entered into a short-term bullish cycle and may continue to rise in the following 24 hours.

Traders and investors may want to take note of the 4-hour RSI line, however, as the indicator had established a peak. This could be a sign that SOL’s positive price move in the last 24 hours has come to an end, and the trend will change direction soon.

This bearish thesis will be invalidated if the current 4-hour candle closes above the aforementioned $21 mark. On the other hand, a close below $21 will result in SOL’s price dropping to the next key support level at $20.45.

Disclaimer: The views and opinions, as well as all the information shared in this price analysis, are published in good faith. Readers must do their own research and due diligence. Any action taken by the reader is strictly at their own risk. Coin Edition and its affiliates will not be held liable for any direct or indirect damage or loss.

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