Solana gained nearly 5% Friday after dropping almost 10% over the last week. Ethereum’s competitor is likely to rally toward its $165 goal, which would be a 13% increase within the coming week. Solana competes with Ethereum by leveraging partnerships and blockchain-based decentralized apps. Ethereum attracts institutional investors.
Solana price forecast
The technical indicators in the SOL/USDT Daily Price Chart show that Solana (SOL() may soon see a trend reverse. SOL currently trades for $149.92. Ethereum is also trading at this price.ETHOn the daily chart, FVG’s upper limit is $170.
Below $170 there are 2 key resistances. R1, which represents the price psychologically important level of $200. R2, is the lower bound of a FVG in the daily chart at $218.40.
The RSI slope of the SOL/USDT Price Chart is upwards. MACD shows red bars in the histogram under neutral. OBV shows a divergence that is bullish, as the OBV slopes up while the price moves downwards. Divergence can be a signal of potential trend reversal.
This is a case where the price of SOL will likely change next week, as the consolidation process ends.
SOL’s price could also find some support around $143.25, which is the lower limit of an FVG chart.
SOL may rally due to these 3 reasons
Bybit is one of the most important crypto exchanges. It has joined forces with Circle Tether Solana Sui and other key players to launch a collaborative Blockchain ecosystem. Ecopedia will offer structured crypto education.
Solana’s meme-coin ecosystem has tanked as a result of the spat between Elon Musk, CEO at Tesla and U.S. president Donald Trump. In the past seven days, in the last 24 hours, as well as on Friday, market capitalization for the sector fell.
Market cap for the Solana ecosystem of meme coins has dropped 5% over the past 24 hour to reach nearly $10 billion.
Once the dust settles on this squabble, Solana’s upward trend is expected to resume.
The Block data shows that the average daily number of transactions in the Solana Blockchain has steadily increased over the past seven days.
Solana derivatives analyses
Solana’s derivatives data, analyzed by Coinglass, shows that in the past 24 hour nearly $40 Million in long position were liquidated. Over the last day, short positions of less than five million dollars were liquidated.
In the same period, options volumes have risen by nearly 50% while open interest has fallen nearly 7%. Binance’s and OKX’s long/short is greater than 1, which indicates that traders are placing more bets in favor of Solana. They expect its price to increase.
Trump-Musk fight influenced Solana’s price
This public spat has made headlines because of its effect on Nasdaq stock, Tesla price and Bitcoin.BTCThe price of Solana, along with other altcoins, dropped as traders turned away from risk. Solana, along with other altcoins fell in price as traders reduced their risk. In the last day, sentiment shifted from neutrality to fear.
Solana made gains with his token on Friday. It remains to be determined if the token will wipe out the losses of the last seven days in the next week.
Trump and Musk’s spat is felt by the Solana ecosystem. The market capitalization has dropped dramatically. The market capitalization of the Solana meme coin ecosystem has dropped by more than 5% in just 24 hours. A recovery is unlikely if it isn’t triggered by an external catalyst.
Solana – a one trick pony or not
Standard Chartered analysts labeled Solana a “one-trick ponies” for its role in driving SOL’s value and price higher over the last year. SOL is expected to have stablecoins as well DeFi protocol and announcements about partnerships in 2025.
Standard Chartered has stress-tested its blockchain technology in the past. Its scalability, throughput and effectiveness have been proven and paved the path for greater adoption and partnership.
Standard Chartered recommends that Solana enter other industries to increase its utility. However, SOL has generated more volume and utility in recent years from transactions involving meme coins. Although usage has declined from the height of the meme-coin rally.
Solana was trading at $150 when I wrote this article on Friday. The price may move upwards or down depending on the catalysts. It could also end its consolidation state, which is bordered at resistance by $187 and at support by $141.
Disclosure: The article is not intended to be investment advice. This page is intended for informational purposes only.
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Source: crypto.news
