Solana recently caught the attention of market participants with a notable increase to US$175surprising investors and analysts alike. Solana is currently up 40% from its low of $123 this month. The cryptocurrency’s strong upward momentum has reignited optimism among traders and investors, who are now eagerly awaiting a potential breakout above the $200 mark next week.
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Traders also noticed the formation of a bullish pennant on the SOL price chart, which reaffirms expectations of a SOL price of $200. This pattern is typically seen as a continuation signal, suggesting that the current uptrend may persist next week.
Growing speculation that SOL will surpass $200
According to data from Santiment, Solana has seen an impressive surge, rising 33% since July 4. Interestingly, the on-chain tracker noted that despite this significant price increase, there was still a remarkable amount of negativity surrounding Solana among some traders. This lingering skepticism has created a Fear of Missing Out (FOMO) among most investors, which in turn has fueled Solana’s upward price momentum. The price surge means that Solana loyalists, who held out despite last month’s prolonged slump, have been amply rewarded for their patience.
📈 Solana faithful have been rewarded for their patience as prices have surged +33% since July 4th. The rally is being fueled by the crowd’s doubt towards SOL. Until FOMO replaces FUD, $200 SOL will soon be within reach. pic.twitter.com/hLpf8qZVqb
– Santiment (@santimentfeed) July 19, 2024
Analysts at Santiment are optimistic about Solana’s future, predicting that the current price surge will continue and potentially push SOL past the $200 mark again. At the time of writing, Solana is trading at $171, meaning it would need to experience an additional 17% increase to reach the predicted $200 level.
“Until FOMO replaces FUD, $200 SOL will be very affordable soon,” Santiment said.
This projection of continued growth is based on recent market trends and the overall bullish sentiment that has been building around Solana. Investors and traders are closely watching to see if Solana can maintain its momentum and reach the $200 target.
SOL Technical Analysis
SOL price technical analysis also suggests an upside breakout above $200. According to crypto analyst CryptoBusy, Solana is now forming a pennant on the daily candlestick chart. The chart reveals that since March 2024, Solana has exhibited a pattern of lower highs and higher lows, tracing a tightening range and a compression on price corrections.
This consolidation phase typically sets the stage for a breakout, with CryptoBusy suggesting a price target of around $210 if Solana breaks out to the upside.
🚨 #Solana $SUN BIG Pennant on 1D chart!
Watch out for this price action! https://t.co/GF2BfV0Dtv pic.twitter.com/Hlh73PKHq9
-CryptoBusy (@CryptoBusy) July 18, 2024
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On the other hand, crypto analyst Ali Marinez believes that the pennant flag is setting Solana up for a potential recovery of 900% up to $1,800. Such a large increase, while speculative, underscores the bullish sentiment and current FOMO around Solana within the crypto community.
#Solana has its eye on $1,000! Early signs of a bullish pennant breakout suggest a potential 900% rally ahead. pic.twitter.com/DuFJF4h9dX
-Ali (@ali_charts) July 20, 2024
Featured image from Mudrex, chart from TradingView