Solana’s Sol Token is having a very interesting day. Rises to the latest zenith and then undergoes a correction.
According to Messari, the digital currency acting as a birthmark on the high-performance blockchain platform Solana reached $215.06 this morning.
After rising to that level, it fell to nearly $195, a drop of more than 9 percent, according to additional data from Butcher.
After this retreat, the digital currency has rallied to some extent and is trading at nearly $199.00 at the time of this writing.
[Ed’s note: Investing in cryptocoins or tokens is highly speculative and the market is largely unregulated. Anyone considering this should be prepared to lose their entire investment.]
Following the recent price swings, several technical analysts shared insights and highlighted important considerations for market watchers to look forward to.
John Yadelka, founder and CEO of Vans Capital, a multi-strategic fund, said:
He said the next level of resistance is $250 if the cryptocurrency can overcome this selling pressure.
“I think the strongest selling pressure right now is adding resistance around $250,” Iadeluca said, referring to it as an important psychological level.
Since then, the digital asset has faced a “significant selling wall” of nearly $260, and now there is “great pressure to sell”.
Jason Lau, chief operating officer of cryptocurrency exchange Okcoin, takes a similar view.
He said, “$215 will be the last high in history, so resistance is expected. If we can work it out, $250 is certainly possible. ”
Julius de Kempenaer, senior technical analyst at StockCharts.com, also described the $215 level as resistance, but said the $270 level would emerge after “high integration is expected above the breakout level. I have stated that it is.
In addition to revealing price levels that could cause high resistance, technical analysts also look at the Relative Strength Index (RSI). It is a technical indicator designed to tell consumers how much an asset has been resold or overbought. ..
“The Relative Strength Index (RSI) is a near-term indication of overbought SOL,” Lau said.
Armando Aguilar, Vice President of Digital Asset Strategy at Fundstrat Global Advisors, agrees that “SOL is in the overbought area according to this particular metric”.
Iadeluca offers a slightly different perspective, and his analysis shows that digital tokens rarely fall into overbought areas.
“My surest indication that Solana is indeed overbought, at least when compared to RSI levels, is whether it will continue to rise to overbought market levels in the next few days,” he said. Yes.