Solana surpasses $150 and could rise further, analysts say
Solana (SOL) continues its upward trajectory this week, surpassing the US$ 150 mark this Monday (14). The token, known as one of the main alternatives to Ethereum for smart contracts, registered an increase of almost 4% on the day and continues to gain strength at the time of publication.
Several factors are contributing to this positive movement, including favorable metrics on the blockchain and the increase in the number of holders of memecoins issued on the Solana network. These factors suggest that SOL may be preparing for a new rally.
Increase in memecoin holders on Solana
In the last 30 days, memecoins based on the Solana network, such as Daddy Tate (DADDY), Mother Iggy (MOTHER), Billy (BILLY), for example, have seen an increase in the number of investors. Memecoin analyst Murad mentioned this increase through his profile on X (formerly Twitter).
Generally, when the number of holders of a digital asset grows, it is a bullish sign. After all, it indicates that there is a greater demand for cryptocurrency.
This growth in interest in memecoins has helped drive SOL's positive movement. Additionally, on-chain metrics such as the number of transactions and total active addresses on the Solana blockchain have increased by around 7% in the last month, according to data from The Block. These indicators are signs that the asset's relevance is increasing among market participants.
Uptrend and support levels
Since the beginning of October 2023, Solana has been on an upward trend, forming increasingly higher tops and bottoms, reaching a peak of $210.18 in March 2024. Since then, the asset has been in sideways behavior, without major variations, but respecting some important support levels.
Support levels are at $134.27 and $144.71, which correspond to the lows of September 19 and October 12, respectively.
Momentum indicators such as the Relative Strength Index (RSI) and Moving Average Convergence/Divergence (MACD) reinforce the optimistic outlook. Solana's RSI is at 58.11, above the neutral level of 50. This suggests that the asset still has room for growth before reaching the overbought zone.
Furthermore, the green bars on the MACD histogram, above the neutral line, point to a positive momentum trend in the SOL price.
If current momentum continues, Solana could rise another 11.7% to key resistance at $169.43, which marks the August 2 high. This level coincides with the bottom of a Fair Value Gap between $169.43 and $171.61. However, if the price closes below the $144.71 support, the bullish prediction could be invalidated. In this case, a possible correction up to $134.27 could happen.