thecryptobasic.com 01 October 2024 12:39, UTC

Despite a broader market correction, Solana has continued its upward momentum, posting a 2% gain today. The latest developments have caught the attention of an analyst named RichRangatang, who is now pointing to potential bullish movements in the near future.

According to his latest observation, shared on TradingView, Solana is showing promising signs of breaking through a key resistance level that could signal a substantial price surge.

Indicators Point to a Potential Breakout

RichRangatang has observed key technical indicators on Solana’s weekly chart, highlighting the convergence between the RSI and RSI-MA14, as well as the MACD crossing the signal line. According to him, these indicators often precede bullish momentum.

Solana’s price action, which has followed a pattern of market runs over the past year, now appears ready to test the top resistance trendline. RichRangatang predicts that if the price successfully breaks this resistance, it could result in a new leg up, potentially leading to a new all-time high for Solana.

If Solana plays out as expected, the price could target the $220 range, according to the analysis. Trading at $157, this target would amount to a substantial gain of 40% for current investors.

Other Analysts Set More Ambitious Targets

While RichRangatang suggests a moderate price target, other analysts foresee a more optimistic scenario. Market analyst InvestingScope has set a speculative target of $5,000 for Solana, predicting a parabolic breakout.

This outlook comes amidst a market-wide rebound, with Solana having rebounded by 22% from its monthly lows. While this target is ambitious, an analyst has argued that SOL previously saw an astronomic growth of 51,500%.

Ecosystem Tokens Show Growth

Beyond Solana’s price performance, its ecosystem tokens have also displayed remarkable growth. According to data from Solana Daily, various tokens within the Solana ecosystem, including DeFi and decentralized exchange tokens, have seen significant market cap increases.

The CROWN token, associated with the Photo Finish platform, recorded a 103% rise, while Metaplex’s MPLX token grew by 55%, reaching a market cap of $462 million. These performances demonstrate the broader success of the Solana network as it continues to expand its influence across multiple sectors in Q3 of 2024.