8-Hour Analysis:
Big Picture: Solana’s confirmation of deviating below the key supports has provided bulls with some strong momentum. The Relative Strength Index broke over the barrier of the channel, providing additional confirmation for this momentum. In just a few days, Solana has been able to climb by 15% after reestablishing the essential supports. Bulls are building on this momentum and have the potential to surprise sellers by targeting higher levels and perhaps even the recent highs.
On the Upside initial intraday obstacles for Solana are expected to be between 105.50 and 107.50 levels. The next wave of resistances lies at the 110 and 112 levels, above these intra-day barriers. Although some profit-taking may be partially triggered by either of these levels, given the current momentum, there is still a very good possibility that the price will aim for 118 and 122.
On the Downside a lot more supports have been set up as the price has increased significantly. Strong supports for the price are now seen at levels 103 to 102. Since it took the bulls a long time to break through this area, a similar type support is now anticipated from this range. The quicker EMAs on the lower time frame are getting closer to this range, which will increase the levels of support. Meanwhile if sellers are able to break these supports again, the prevailing momentum is likely to derail and lead to strong profit-takings.
