Solana, the 6th-largest crypto by market cap, saw a slight decline on Tuesday following massive rallies within the previous month. However, the drops show the altcoin readying for sharp upswings toward new all-time highs.
SOL lost nearly 7% towards the $126.94 mark and traded around $132.76 at this writing, following a 3.32% fall over the past day. Moreover, the alt stayed about 50% beneath the $258.96 record highs touched in 2021 November. Nevertheless, Solana is among the top-performing alts within the previous month, surging 38% since touching a 7-month low during March sessions.
SOL Technical Indicators Go Bullish
A renowned cryptocurrency commentator @SmartContracter stated that SOL/BTC highlighted an imminent extended W setup recovery. The altcoin appears poised for more, notwithstanding alternating upticks that take it towards 2022 peaks.
The alternative token will likely witness a massive consolidation following the latest rise. But that will welcome sharp upswings to lifetime highs.
Technical indicators remain bullish, setting $135 as the alt’s next resistance zone. Remember, Solana has persistently struggled to maintain beyond that level. A decisive break of this area will likely show more gains for the token. Remember, SOL printed a Morning start setup amid mid-March recoveries.
PoS Interest, Institutional Trading Boost SOL
Increasing institutional interest contributed to Solana’s latest upsurge. For instance, CoinShares included SOL in its ETP and accounts for about a quarter of Grayscale’s newly launched fund. The impending shift by Ethereum to PoS (Proof-of-Stake) has triggered attentiveness in the mid-term, backing Solana and its peers like Algorand and Cardano. Remember, Solana is the leading proof-of-stake token.
Also, blockchain gaming prospects on Solana supported the altcoin. Krafton, the developer behind wildly recognized PUBG, announced a partnership with Solana Labs to revolutionize online gaming. Such narratives had Solana’s platform attracting market players, supporting SOL price.
Though SOL lost around 3% over the past day, analysts remain bullish on the token. Moreover, market players expected the downswing following the token’s massive rally over the past month. For now, Solana’s pause will help bulls replenish for the coming leg-up. That way, Solana might rally towards record ATHs.
Stay tuned for more crypto updates.
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