Solana
What’s next for SOL price?
In recent weeks, Solana (SOL) has attracted considerable attention as its price faces extreme volatility due to recent IPC news. This follows Bitcoin’s recent challenge of maintaining a clear trend above the psychological threshold of $70,000. Amid bearish pressure, Solana saw changes in key on-chain indicators, suggesting the potential for a significant rebound in the coming hours.
New SOL addresses increased by 7%
Currently, the market is seeing a struggle between buyers and sellers trying to establish a clear price trend for Solana (SOL). Currently, sellers are in control as SOL price drops sharply below the $150 mark. This triggered a massive increase in long-term liquidations among buyers.
According to recent data from Coinglass, Solana saw total liquidations reach nearly $8.3 million. Buyers suffered about $7.5 million in liquidations, while sellers faced about $821,000.
Data from IntoTheBlock indicates that Solana has seen a notable increase in new addresses over the past three days. The figures show a significant rise from 993,000 to a new high of 1.06 million, recording a gain of around 7%.
The massive surge in interest in the Solana network has led to an increase in trading volume, further building momentum. According to data from DappRadar, trading volume on the Solana chain increased by 62% in the last 24 hours, with over 8.84 million transactions executed during this period.
Interestingly, Solana does exceptionally well in terms of transaction processing compared to other blockchain networks. Over the past week, Solana processed more transactions than any other blockchain, totaling over 59.55 million.
SOL’s growing popularity can be attributed, in part, to the meme coin ecosystem that is flourishing on the network. Traders are flocking to Solana to capitalize on meme coins, which have been the most profitable crypto assets during this recent period of market growth.
What’s next for the SOL price?
Solana fell below the 50-day SMA ($160), reinforcing the current bearish momentum. Bears are currently dominating the price chart as SOL price triggers intense bearish momentum below the $150 mark. At the time of writing, SOL price is trading at $148, down over 5.4% in the last 24 hours.
SOL price is currently moving towards a test of buyers’ patience at the $140 level. The bulls are expected to push the price above this support line. A successful rebound would indicate the end of the recent corrective phase. The SOL/USDT pair may initially target $176, with further potential gains towards overhead resistance at $192.
However, a bearish scenario would occur if the price fails to break above the 20-day EMA ($169) or defend the $140 support line. This could pave the way for a decline towards $120.
As the RSI trendline drops sharply towards the oversold region of 39, sellers gain confidence to defend any immediate upside on the price chart.