Solana bounces back with a rapid 8.4% upswing! What does the latest rally reveal?

After a prolonged period of selling pressure, Solana’s price is finally showing signs of recovery. The latest movements in the market indicate that SOL has found support in a critical region and has overcome several short-term resistance levels. However, there is still debate among analysts as to whether this surge marks a lasting reversal or merely a temporary uptick.

Reaction from a key support zone

According to market analyst BitGuru, Solana is attempting to regain momentum after rebounding from a critical turning point. The analyst notes that SOL traded sideways between $82 and $84 before entering a sharp downward trend.

During this downturn, SOL plummeted by approximately 81.66 percent, with selling pressure dragging the price down to the $60 to $62 range. This area reportedly attracted buyers, resulting in renewed bullish momentum. The absence of new lows and the formation of a potential bottom are seen as indicators that selling is losing steam while accumulation is on the rise.

The recovery has gained traction as the price broke through key resistance levels, establishing higher lows and higher highs. SOL managing to hold above what was previously resistance at $67 to $68 and transforming it into support is viewed as a positive technical sign. Subsequently, the price’s ability to sustain itself between $73 and $75 suggests that support is holding in the short term.

The $80 region emerges as the next target

BitGuru emphasizes that if current momentum continues, SOL may make a move toward the $80 to $82 resistance zone. Previously, this region served as a floor during periods of price consolidation before the larger drop. Surpassing the $82.67 threshold would be seen as a clear confirmation that selling pressure has eased significantly.

Short-term resistance signals flash warning

Meanwhile, market analyst Ali has highlighted emerging resistance signals for the short term. According to Ali, after the TD Sequential indicator flashed a buy signal at $68.46, SOL surged by 8.40 percent to touch $74.27.

Ali points out that the price is now approaching the technical resistance in the $74 to $75 zone. On the four-hour chart, both a TD Sequential sell signal and a downward-sloping 200-period simple moving average are evident in this area.

Mini glossary: The TD Sequential is a technical analysis indicator used to identify potential exhaustion and turning points in price action. The simple moving average tracks the average price over a set period, providing an overall trend perspective.

In summary, Ali suggests that a renewed dominance by sellers may prompt Solana to retreat first to $71 and then to the $68 support level. The immediate focus for the market remains on whether SOL can stay above the $67 to $68 support and whether it can break through the resistance near $75.

The post Solana bounces back with a rapid 8.4% upswing! What does the latest rally reveal? appeared first on COINTURK NEWS.