Solana (SOL) price is making a strong push to cross the $200 mark after a recent dip below $190. This rebound is fuelled by the approaching $97 billion market cap, indicating a fresh wave of investor interest.
Technical indicators hint at a potential surge for SOL if a golden cross emerges, possibly propelling the price towards $209 and beyond. On the flip side, a weakening buying pressure could trigger a pullback, with crucial support zones observed at $187 and $175.8.
Solana Whales Striving for Recovery
The count of SOL whales - wallets holding a minimum of 10,000 SOL - witnessed a notable dip from 5,131 on February 4 to 5,053 on February 11. This decline followed an all-time peak of 5,167 on January 25, signalling a gradual decrease in whale holdings. This trend indicates that some major holders might be shedding their positions, potentially impacting SOL price negatively.
Keeping an eye on whale activity is crucial as these entities significantly influence market dynamics. Following the dip to 5,053, the number of whales has started to climb again, currently standing at 5,090.
This gradual uptick could display a resurgence in confidence among prominent investors, though the overarching trend remains uncertain. The continuation of whale accumulation could bolster Solana's price, while a pause or further decline may suggest vulnerabilities in the market.
Solana DMI Signals Buyer's Efforts to Seize Control
The Solana Directional Movement Index (DMI) demonstrates an Average Directional Index (ADX) of 18.7, down from 22.2 previously. The declining ADX hints at a weakening trend strength, hinting that the downtrend may be losing steam.
Simultaneously, the +DI has climbed from 11.3 to 19, while the -DI has fallen from 26.4 to 19, indicating a shift in buying and selling pressures.
The ADX, on a scale from 0 to 100, suggests trend strength, with values over 25 indicating impactful trends and below 20 indicating a weak or uncertain movement.
Given the declining ADX and a rising +DI alongside a falling -DI, Solana seems to be initiating a trend reversal. A sustained rise in buying pressure could set the stage for an upward trajectory for SOL, but the market may linger in consolidation territory until a clear trend emerges.
SOL Price Projection: Can Solana Hold Firm above $200?
Solana's price is striving to reclaim the $200 mark post a brief dip below $190. The convergence of short-term moving averages could pave the way for a golden cross, potentially propelling SOL to test $209, with a breakthrough potentially leading it to soar towards $219.9. Restoring momentum from the previous month could even push SOL to hit $244, marking its highest level since late January.
But, in the event of SOL's inability to establish an upward trend, it might face renewed selling pressure, with a probable decline to the $187 support level, and a subsequent descent towards $175.8 if that support falters.