Solana’s Strange And Unprecedented Road To Recovery

Solana’s Remarkable Recovery from Losses, Higher Timeframe Trend Points to Future Gains but with a Breakout Reversal Risk. AI Bot Sets $54 Target for 2023, SOL’s Journey Ahead Uncertain with Possibility of Bear Market Rally.

Solana traded in an orange range between $20.4-$26.6, with the midpoint at $23.5 since mid-Jan. Significant resistance at $30.7 above $26.6 but the $26-$27 region also presents significant resistance.

The low zone from May to November was where SOL traded and was retested several times, with Solana bouncing higher but was broken during the November crash. Ranges are more likely to persist than break when retested at extremes, offering a shorting opportunity at $26.6 with a stop-loss above $27 and take-profit at $23.5.

If the session closes above $27 and retests at $26, the bias will shift, allowing buyers to go long and take profits at $30.7, $33, and $37.3. RSI 56 shows bullish momentum, and OBV has shown slight gains in the past three days (at press time).

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Solana’s 1-hour chart on Coinalyze displays increasing CVD, signaling buying pressure. This is a positive development as SOL nears $26 resistance. The funding rate has been positive since mid-January. Open Interest rose with SOL’s bounce from $23, indicating bullish intent, and rising OI may lead to a range breakout.

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