Solana price forecast as SOL hovers near $200?
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Solana (SOL) price reached highs of $213 early Monday, but has since flipped from the intraday peak to hover around the $200 mark.
With SOL down more than 3% in the past 24 hours amid profit taking across the market, can bulls maintain the upper hand and target a new all-time high, or is a dip below $200 set to elevate bears into control?
Solana poised at $200 as Bitcoin dumps below $112k
The market has seen Solana’s price top above the crucial psychological mark of $200 twice in the past month.
However, bears have offered a strong supply wall around $210, with a subsequent dump following the first downflip, pushing SOL to support around $175.
As the altcoin trades near $199 at the time of writing, buyers must reclaim the psychological level or risk further losses.
Bitcoin’s decline to around $111,600, and Ethereum’s drop from an all-time high above $4,800 to around $4,600 don’t augur well for Solana.
The top two coins dumping may accelerate profit-taking for small tokens.
Solana price forecast: is a new ATH next for SOL?
Technical indicators, including the MACD and RSI, signal potential bullish continuation.
However, the daily RSI is near 57 and slightly downturned, while the MACD retains a bullish crossover outlook but has momentum weakening as shown by the histogram.
In this case, the pullback could see SOL’s ability to hold above $200 weaken and allow sellers to target $175 and $160.
Nonetheless, stablecoin adoption news, ETF sentiment and overall market conditions could help bulls.
Reports that Galaxy Digital, Jump Crypto, and Multicoin Capital are planning a $1 billion investment in Solana have intensified bullish sentiment.
Buying SOL to the tune of $1 billion, in addition to Solana treasury companies, is another factor.
The upcoming Alpenglow upgrade, aimed at bolstering transaction finality of 100–150 milliseconds, is another positive set to roll in later in the year.
A look at data from Coinglass shows the open interest in SOL futures has declined 2.69% to $12 billion, robust but indicating weakening investor confidence.
Solana’s total value locked (TVL) in decentralised finance protocols has also dropped as price pares latest gains.
While a correction to support at $175 is likely, bulls can stem the onslaught if they hold above $190 and swiftly reclaim $200.
If this happens, a confluence of institutional interest and backing, technical strength and regulatory shifts may buoy SOL holders.
Analysts see a break above $211 as key in the short term.
Bulls could then challenge Solana’s previous ATH of $294 and target highs of $500.
The post Solana price forecast as SOL hovers near $200? appeared first on Invezz
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