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Solana (SOL) is gearing up for a possible bull run to $200, despite the recent fears after 32 million SOL tokens were unleashed from the dust of the FTX bankruptcy estate. The unlock has raised some speculation in the market, but the key indicators support that Solana is still bullish and may go beyond the current resistance and hit the all-time highs.
Solana's price is facing pivotal resistance at $179. SOL trades at around $175, adding up 0.5% in the last 24 hours. The price showed an intraday high of $179 and slightly retraced, showing strong resistance at that level. Irrespective of this, the positive sentiment of the broader market, stimulated by Bitcoin’s short-term rise above $105K, remains a suitable driver for the further increase of Solana.
The price action follows the recent unlock of 187,600 SOL tokens by the FTX bankruptcy estate. The release of these tokens worth $32.79 million has drawn concerns of possible selling pressure, but the overall market trends and technical analysis indicate that the selling pressure could be temporary. As the market settles, SOL is expected to keep its bullish trend, aiming to break the $179 mark and strive for the $200 level.
Three main chart patterns can predict Solana’s breakthrough with a value of $179. From the daily chart, SOL is about to break out of an ascending parallel channel. Solana is currently testing this channel's resistance line, and if it breaks through it, it may rise to $219.
Further, technical indicators are still bullish for SOL. The relative strength index (RSI) has increased to 72, showing strong bullish momentum and potential for an upward surge. The 20-day simple moving average (SMA) forms a positive trajectory as it tries to cross over with the 200-day exponential moving average (EMA) adding further strength to Solana’s momentum.
In addition to the favourable technical indicators, Solana has also observed substantial increases in user engagement. The number of active addresses per week has exceeded 10 million, registering a new three-month high.
This spike in activity indicates rising network demand and higher user involvement which tend to precede explosive price swings. The increase in active addresses demonstrates a healthy ecosystem and complements the prospects of further upward movement.
Moreover, global liquidity trends have been dictating Solana's price movements. The analysts noticed that Solana often reacts positively when global liquidity is growing. If global liquidity keeps rising, SOL might not only reach $200 but potentially even get to $400 relatively soon.
