Solana Price Projected: SOL/USD up 30 percent – is the bottom in now?

The crypto market has grown a bit over the past few days. The inflation figures from the USA, which were better than expected, as reported by kryptoszene.de, caused the price of Bitcoin to rise towards $18,000. But many Altcoins are also on the rise right now. Solana buyers are also among the winners. The SOL/USD token is already up 30 percent from its yearly low of under $11 on November 22, 2022.

Now, will this little rally continue, or should investors be cautious as the next correction unfolds? Kryptoszene.de looks at the current state of Solana, analyzes the SOL/USD chart for hints on short-term price targets and evaluates analysts’ forecasts for the cryptocurrency’s medium- and long-term trend.

SOL especially suffers from FTX crashes

The past few weeks and months have been anything but easy for SOL buyers. Not only did the bear market in general affect the course, but the selloff affected it significantly. This can be attributed to the fact that the crypto exchange FTX, which is now in bankruptcy proceedings and whose former leader is in prison, managed a large number in SOL tokens. With the stock market crash, a large amount of liquidity was removed from Solana, although it was not directly involved in the operations at FTX according to current information. The fact that the crypto exchange crypto.com has temporarily stopped paying out SOL tokens is likely causing additional uncertainty among buyers.

These events have caused a huge drop in prices. As of November 2021, the SOL token was trading for $260. With the correction to $ 11, the price fell almost 96 percent at its peak. SOL buyers, who bought the cryptocurrency at the highs just over a year ago, are almost sitting on a total loss of their investment.

Even the recent small rally to around $14.4 doesn’t change much. The price of SOL / USD is still deep in the basement and the cryptocurrency has recorded much greater losses than Bitcoin, Ethereum or XRP, for example, where investors have to cope with reductions of up to 80 percent in one year.

Should you be greedy and buy SOL now?

But after the big panic, some calm seems to be returning to the market. There are also positive signs from the economy, such as the latest inflation figures, which are well below the inflation rate of a few months ago. This evening, the Fed will also announce whether it will raise interest rates again and by what amount. Many analysts expect interest rates to rise more modestly this time – also in light of falling inflation. The forecast is 0.5 basis points. If this is the case or if the monetary authorities even decide to raise interest rates less or even take a break, the market could benefit. Then there is a chance that SOL/USD can continue its increase in current highs.

So now is a good time to buy SOL. After all, the price seems very cheap right now if you use 2021 prices as a benchmark. And the legend of the investor Warren Buffett is already convinced that investors should be greedy when others are afraid to buy. His success creates the right billionaire. But can we really expect that the price is lower and that this bear market will also reach its end point at the end of the year and that the bulls will be able to increase their strength again?

SOL course: A double top could trigger a correction to the new year low

Technical chart analysis can provide clues. On the small 1-hour chart, the SOL/USD can be seen moving in a rising parallel channel. The support zone of the chart pattern sits around $14, so Solana needs to hold this level to prevent a major correction. The upper resistance zone is currently around $15. As long as the price is able to maintain this sharply rising pattern, further price increases are possible in the short term.

Meanwhile, the 4-hour chart shows that SOL could form a potentially bearish double top. If the price fails to break the resistance of the high point of around $15 on November 26, the next step could be to test the support line of this formation at around $12.8. However, the double top will only be valid when SOL/USD falls below this support and is confirmed to be retested as new resistance. In this case, the correction could take the price of SOL to the $10.6 level. That would equal a new low this year.

Bullish Pattern: SOL could explode 1,000 percent

On the other hand, the daily chart for the cryptocurrency looks more bullish. Therefore, SOL/USD continues to move in a falling trend, which according to technical analysis is a pattern where a breakout to the upside is more likely than a correction to the downside.

This formation seems to be particularly relevant for the Solana price because SOL/USD has been moving in this pattern since August 2021, repeatedly testing the support and resistance areas. Although the altcoin price briefly managed to break through these zones, the moves were never sustained and SOL/USD has returned to the formation. Currently the price is right between support and resistance and it may take some time before a directional decision is made. In theory, the price of Solana can stay in the pattern until January when the final point is reached.

In any case, a breakout may be associated with high volatility. A breakout to the upside could put SOL/USD under a technical price target above $150. That would be an increase of almost 1,000 percent from the current price. Investors who buy SOL now could see huge returns from this move.

Analysts expect SOL to recover significantly from current lows in the next few years. Digital Bonn Price is predicting that the altcoin may rise again towards $40 next year. According to the forecast, SOL will reach a triple-digit price level again by 2028. A new all-time high for SOL at around $285 is even expected for the year 2031.

IMPT signal ahead of price breakout?

Buyers of the IMPT token, who used the pre-sale to get the new cryptocurrency for free, are now eagerly awaiting the listing on crypto exchanges. Will the pre-sale price of 0.023 dollars be significantly exceeded soon? After all, according to analysts, the project is very forward-looking, since it addresses the mega-topic of climate protection and the possibility of trading in emission credits.

Cryptocurrencies are a highly volatile, unregulated investment product. Your capital is at risk.