Solana is up more than 20% in the last 24 hours; crypto experts believe it is a resurrection for Solana after a long bearish momentum. It is also difficult to predict how long it will continue.
Solana is a leading cryptocurrency and a competitor of Ethereum that offers faster transactions with smart contracts technology. Solana runs on a unique Proof of History mechanism. The community sentiment is bullish. Should you invest in Solana for the short term? Read this SOL price prediction to know!
At the time of writing this post, SOL was trading around $16.23 and forming bullish candles on the daily chart. Today’s candlestick has broken the upper Bollinger Bands. Other technical indicators, such as RSI, are over 70, and MACD is also bullish, which suggests a short-term uptrend at least to the level of $30.
After the FTX liquidity crisis, Solana broke the previous support of $30, and it has not regained its position. Yet many cryptocurrencies have already crossed the previous resistance, so it is the right time to invest in Solana.
Whether SOL will break $30 or not is tough to predict from the daily chart. We can estimate an SOL price movement from a weekly chart that also suggests a beginning of a bullish trend after a consolidation.
On the weekly chart, bearish engulfing candles in the initial week of November suggest a selling pressure. After that, it consolidated, and now Solana has crossed the initial resistance of $13, while most other technical indicators, such as MACD, and RSI, also reflect an uptrend.
Candlesticks are forming in the lower Bollinger Bands, but two weekly bullish candles suggest a strong momentum, at least for the short term, that will cover the loss due to the FTX liquidity crisis.
The profit is huge for the short term. If Solana crosses the initial resistance of $30, the price will face another resistance of around $45, so it is also the right time to accumulate SOL for the long term with any of these targets for the next few months.
However, 2023 will be volatile for cryptocurrencies and the stock market, so you have to book the profit at the right time to avoid loss on capital gain.
