Crypto Investors: Solana Could Jump to $40 – Here’s How!
• Solana has rallied in 2023, but failed to break above horizontal resistance.
• A bullish case remains valid unless the price dips below the 2022 lows.
• If it breaks above horizontal resistance, Solana may trade above $40.
Solana Price Rally
2023 has been a great year for cryptocurrency investors. Bitcoin bounced from last year’s lows, triggering a similar move in other major cryptocurrencies. Similarly, Solana followed suit and its price more than doubled this year, rising from $10 to over $25 in what appeared to be a clear bullish breakout. However, after trading above $26 in January, the market failed to build on the bullish trend and instead entered into consolidation mode.
Horizontal Resistance
It is difficult to build a bullish case while the market holds below horizontal resistance. In order for a bullish scenario to remain valid, the price must not dip below the 2022 lows. If it does break above horizontal resistance then we could see further gains with Solana potentially trading above $40.
US Dollar Weakness
The US dollar has traded with mixed tone so far in 2023 but if renewed weakness resumes then this could bode well for cryptocurrencies including Solana as prices could rise further if it breaches horizontal resistance. Furthermore, if the Fed believes that US inflation data follows the right path then we should expect dollar weakness in second half of 2023 which would benefit cryptocurrencies like Solana even more.
Bullish Scenario
In order for bulls to remain in control of the market and for prices to continue increasing, we need a daily close above horizontal resistance which would open up potential gains beyond $40 per token for Solana investors and traders alike.
Conclusion
At present we are still waiting on confirmation of whether Horizontal Resistance will be breached or not before allowing us to make predictions about how high Solana can go beyond this point however given current conditions and performance it seems likely that investors may soon see their returns increase even further if all goes according to plan!