Solana (SOL) Price Reaches 217-Day Resistance — Breakout Can Lead to New All-Time High

Key Takeaways

• Solana (SOL) has reached a 217-day resistance trend line.
• The wave count suggests Solana has started wave five.
• Will the SOL price reach a new all-time high in 2024?

The Solana (SOL) price has increased since Aug. 5. The price created several higher lows and reached a 217-day descending resistance trend line on Oct. 21. The SOL price has increased by 10% so far in October.

Let’s see if the Solana price can break out, and if it does, whether it can reach a new all-time high price.

Solana Reaches Resistance

The daily Solana chart shows a decrease under a descending resistance trend line since March 14. The decrease culminated with a low of $109.89 on Aug. 5.

The SOL price has increased since, creating several higher lows and reaching the resistance trend line on Oct. 21. This is the fourth time it has reached it.

Since resistances get weaker once they are touched numerous times, an eventual breakout is likely.

If one happens, the next resistance will be at $205, created by the yearly highs. On the other hand, the closest support area is at $158. Technical indicators imply that a breakout is the most likely outlook.

The Relative Strength Index (RSI) and Moving Average Convergence/Divergence are both increasing and above their bullish thresholds at 50 and 0, respectively.

So, the daily time frame suggests an SOL breakout and increase to $205 is the most likely future outlook.

What Analysts are Saying

Cryptocurrency analysts and investors on X give a bullish view of the future SOL trend.

Titan of Crypto gives a target of $1,400 once the current bull flag breaks out. The target is derived by measuring the length of the preceding upward movement. CryptoKaleo is also bullish, though he did not give a target, simply stating that the next leg up will “melt faces”.

The number of Solana active addresses has also spiked in the last two months, going from 1.5 million to over 4 million.

The Solana volume in the past 24 hours is massive, reaching nearly $1.67 billion. This is more than the entire Ethereum Layer-2 ecosystem combined. A lot of this is likely due to meme coin trading since $1.25 billion of the volume is from the Raydium decentralized exchange.

Data from the exchange shows that the two most traded pairs are GOAT and GNON, which have over $350 million in volume. This increase in meme coin trading is likely the reason for the address surge.

Solana All-Time High

The most likely wave count predicts a new Solana all-time high. According to the count, SOL has started the fifth and final wave of an upward movement that began in December 2022.

More specifically, a breakout from the symmetrical triangle will confirm that wave five has started.

If a breakout happens, a likely target for the top of wave five is $273. The 1.61 external Fibonacci retracement (black) of the most recent drop creates the target.

SOL will reach a new all-time high if the target holds. The current all-time high is $259, reached in September 2021.

If wave five extends and has the same length as wave three, SOL will reach a high of $306.

Solana Price Breakout Close

The weekly and daily time frame SOL charts both give a bullish outlook. Once the price breaks out from its long-term trend line, it can accelerate its increase, first reaching the $205 target and then reaching a new all-time high.