Jump to $40? Solana Technical Analysis Update

• Solana has seen a significant rise in its price this year, increasing from $10 to over $25.
• A bullish case remains valid as long as the price does not dip below the 2022 lows.
• If Solana breaks above horizontal resistance, it may trade above $40 and benefit from renewed US dollar weakness.

Solana’s Price Rally in 2023

Solana has experienced an impressive rally this year, rising over 150% since the start of 2021. The cryptocurrency market was able to bounce back after last year’s lows, pushing up all major cryptos including Solana. At the moment, Solana’s price is hovering around $25 but a breakout past horizontal resistance could push it beyond $40.

Building a Bullish Case for Solana

It is difficult to build a strong bullish case for Solana while the market holds below horizontal resistance. That being said, as long as the 2022 lows remain in place, one can still make a bullish scenario for the cryptocurrency. To validate such a scenario, we need to see whether or not there are factors that could drive further growth for Solana on top of what we have already seen this year.

The US Dollar and Solana

The US dollar has shown mixed performance so far in 2023 but if it weakens again due to lack of intervention from the Fed, cryptocurrencies such as Solana could benefit greatly from this move. A break above horizontal resistance would likely trigger more gains and potentially take Solana beyond $40 per coin.

Conclusion

In conclusion, despite some price stagnation at present levels, there is still potential for growth with regards to solana given that key support levels remain intact and that any renewed weakness in the US dollar could be beneficial for solanas price action going forward. All eyes should be on whether or not solanas can break through current resistances and make new highs later this year before making any investment decisions related to it.

Takeaways

• Solana rallied significantly in 2021 but failed to break above horizontal resistance yet;  \n• A bullish case remains valid unless the price moves below 2022 lows; \n• If it breaks above horizontal resistance, it might reach prices beyond $40; \n• The fate of cryptocurrencies depends heavily on what happens with the US dollar;   \n• Investors should pay attention if they want to capitalize on any potential future gains with regards to solanas price action