Solana (SOL) Shows Bullish Pattern Amid Market-Wide Sell-Off, Can History Repeat Itself?

In the last 24 hours, the cryptocurrency market experienced notable selling pressure, after the world's biggest digital asset, Bitcoin [BTC] fell

After a significant drop of over 8% in the last 24 hours, Bitcoin (BTC) price experienced a slight recovery at press time. Other cryptocurrencies like Ethereum (ETH), Solana (SOL), and Binance Coin (BNB) also faced 24-hour losses of over 10%, 7%, and 13%, respectively.

Solana (SOL) price showed signs of a bullish trend amid this continued selling pressure in the cryptocurrency market.

Solana (SOL) technical analysis

Solana’s 24-hour price chart showed that SOL was trading at a strong support level of $124 at press time, below the 200 EMA (Exponential Moving Average).

Two bullish price action patterns were forming on SOL’s daily chart—A bullish double-bottom pattern and a bullish divergence in the oversold area of the Relative Strength Index (RSI).

However, this isn’t the first time that SOL’s daily chart showed this pattern. In May 2024, a similar bullish pattern occurred at the same level near $124.

There’s a high possibility that SOL might copy the move that it made in May 2024. If history repeats itself, we could potentially see a massive price surge of over 22%, reaching the $160 level in the coming days.

Solana (SOL) price analysis: Key levels to watch out for, as cryptocurrency market faced selling pressure Solana (SOL) technical analysis showed a bullish outlook on its daily chart. Source: TradingView

Solana (SOL) price performance analysis

As per CoinMarketCap, SOL was trading at an average price of $126 at press time. In the last 24 hours, SOL’s price experienced a 7% price drop.

The trading volume also saw a surge of 36% in the same period, indicating higher participation from investors and traders.

If we look at SOL’s performance over a longer period, in the last seven days, it lost more than 11% of its value. Whereas, in the last 30 days, SOL lost nearly 26% of its gain.

Solana-based altcoins like Render (RNDR), Bonk (BONK), and Pyth Network (PYTH) also saw a price drop in the last 24 hours.

According to CoinMarketCap, RDNR, BONK, and PYTH saw price drops of 9%, 12%, and 13% respectively in the last 24 hours.

On the other hand, popular Solana-based meme coin dogwifhat (WIF) and The Graph (GRT) experienced surges of 12% and 2% respectively in the same period.

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