Solana Momentum Builds as Bulls Eye a Break Above the $150 Resistance

Solana (SOL) was trading at $124.29 on Tuesday, January 27, marking a 1.3% increase in the past day, according to CoinMarketCap data. The token’s trading volume, however, fell by 40.19% and is currently at $3.68 billion. The token has also seen a decline of 5.19% over the last week.

Source: CoinMarketCap

Solana Holds Key Zone With Upside Targets Ahead

Crypto analyst Yuna highlighted that the price is currently holding near the $120-$125 price zone, which has been tested several times in the past. The analyst further added that the price is holding on long-term support.

According to Yuna, holding this price zone suggests that the price will be able to reclaim the $150 mark. The analyst further added that consolidation may happen at $180-$200, and then it may even reach $290-$300. However, it will be invalidated if it closes below $110.

Source: X

Moreover, another analyst, CryptoPulse, mentioned that there was a strong reaction to the $118–$120 support level. He stated that this band is active in lower timeframes. It is possible that a short-term move of $135–$145 could happen if the buyers are able to sustain the momentum.

Source: X

Also Read: Solana Holds Near $127, but Analysts Warn of Breakdown Risk

Volume Drops as Open Interest Rises

According to CoinGlass data, the token’s volume fell by 32.50% to $10.18 billion, down from the previous day’s value. The token’s open interest, however, rose by 3.15%. The SOL OI-weighted funding rate is currently at 0.0050%.

Source: CoinGlass

Liquidations remained at moderate levels. Total liquidations stood at $4.56 million, with $1.30 million being long liquidations and $3.26 million being short-position liquidations.

Source: CoinGlass

RSI Neutral Zone and EMAs Signal Strong Resistance

The Relative Strength Index (RSI) was at 41.35, while the signal line was at 47.77. This put SOL in the lower neutral range.

The Exponential Moving Averages (EMAs) indicated the resistance levels of SOL. The 20-day EMA was at 130.70, while the 50-day EMA was at 134.52.

The higher time frame EMAs were still high, with the 100-day EMA at 144.85 and the 200-day EMA at 156.84.

Source: TradingView

Solana was still in a decisive support cluster, with prices remaining stagnant. Analysts have indicated that the direction of SOL now depends on whether it can move past its near-term resistances or go below its critical support.

Also Read: Bitcoin Cash (BCH) Falls Below $600 as Market Tracks $595 Rebound