Solana (SOL) is currently trading around a key supply zone after an impressive 26% gain since September 18 following the Federal Reserve’s announcement of interest rate cuts. This explosive growth has sparked optimism among analysts and investors, who are hopeful that Solana will soon reach up-to-date all-time highs.

Many in the cryptocurrency space believe Solana is poised for continued gains, with some expecting it to outperform the broader market in the coming months. One prominent analyst, Carl Runefelt, shared a technical analysis of X, highlighting the potential for a parabolic move once SOL breaks through its yearly high.

With growing attention on Solana’s sturdy fundamentals and technical strength, the market is watching closely to see if SOL can maintain its upward trend and deliver the explosive gains that many expect.

With Solana hovering near these key levels, the next few days could be crucial in determining whether it continues its upward march or faces renewed selling pressure.

Solana to $200 before up-to-date ATH

Solana (SOL) is currently testing a key liquidity area, and investors are closely watching its next price move. After the bull run over the past two weeks, many are expecting a surge that could push SOL higher. However, some concerns remain that Solana may underperform this cycle compared to other leading altcoins that have shown stronger market activity.

Prominent cryptocurrency analyst Carl Runefelt recently shared information detailed analysishighlighting the bullish cup and handle pattern forming in Solana’s price action. This formation, often seen as a signal of a continuation of the uptrend, has a clear resistance level around $200. Runefelt believes that once Solana breaks above this key level, the price could go parabolic, with the next major target being an all-time high (ATH) of around $260.

In his analysis, Runefelt highlights that breaking the resistance at the $200 level will be crucial for Solana’s price action. When this happens, I anticipate a quick and aggressive move towards up-to-date highs.

The cup and handle pattern is a classic bullish continuation pattern that often leads to keen price increases, suggesting that Solana may be poised for a major breakout.

With market sentiment still upbeat and Solana testing critical levels, the next few weeks could determine whether the asset achieves the explosive gains many expect.

SOL tests key supplies

Solana (SOL) is trading at $156, up 13% from last week’s lows. The price successfully reclaimed the 200 daily moving average (MA) at $154, holding it as support – a bullish signal that could push SOL to higher levels soon.

However, SOL encounters resistance at the local high of $163, which it struggles to break through. Bulls need to push the price beyond this critical level to trigger a rally towards a yearly high of around $210. This would further strengthen the positive sentiment around Solana as investors and traders look for confirmation of a larger move higher.

On the other hand, if SOL fails to break the resistance at $163, a pullback to lower demand levels around $140 becomes more likely. This would pose a critical test for the asset as a failure to maintain support at lower levels could undermine the bullish momentum built over the past few weeks.

With SOL oscillating near key levels, the next price move could set the stage for a rally towards up-to-date highs or a deeper pullback.

Featured image from Dall-E, chart from TradingView