On Thursday, May 23, the crypto market witnessed a sudden sell-off as Bitcoin reverted below the $110,000 level. This downtick came as a temporary pullback amid a prolonged recovery trend and U.S. President Donald Trump’s announcement of a 50% tariff on EU imports. Despite the selling pressure, the Solana price shows notable resilience and potential for a strong breakout as its active address continues to surge higher. Is the $250 rally close?
Solana Signals Bullish Strength with 60% Growth in Active Addresses
In the last three weeks, the Solana price witnessed a high-momentum recovery from $140.3 to $182, projecting a gain of 30%. This upswing in the daily chart showcased price sustainability above 20- and 50-day exponential moving averages and also reclaimed 100- and 200-day EMAs, signaling the increasing bullish sentiment.
Following the price momentum, Solana’s active addresses also bounced from 3.16 to 5.05 million, registering a nearly 60% surge. The uptrend indicates increasing engagement and network usage, often a precursor to higher valuations
Simultaneously, the number of new addresses rallied from 3.15M to 5.05M— a 60% growth again. This accentuates growing user adoption and new user interest to support a long-term bullish narrative.
If the trend continues, the SOL price will maintain its momentum and breach its immediate resistance at $186.
Sonala Price to Exit 100-day Accumulation with This Breakout
By press time, Solana’s price trades at $179, with an intraday gain of 0.96%. While the daily chart reflects market uncertainty with a long-wick rejection candle, the coin price maintains its formation for a reversal pattern called inverted head and shoulders.
Theoretically, the chart setup shows three downswings, one in the middle and two short ones surrounding it. Typically, it indicates renewed demand pressure at the bottom and potential for a strong breakout rally.
Thus, the SOL price is poised to breach the overhead neckline at $187, providing buyers with suitable support for the next leap. With sustained buying, the coin price could rally to $223, followed by $275.
Also Read: ETH Exchange Supply Crashes—Is $2,600 Just the Beginning?
