With the flag breakout briefly surpassing the psychological $150 level, could Solana be able to cross the $200 threshold in this bull run?
Despite the failure of Bitcoin price to sustain above $64,000, the altcoin bull run is gaining momentum. Solana is showing a flag breakout on the 4-hour chart, extending the uptrend and signaling a possible bull run.
However, broader price action is revealing a rounded bottom pattern that encompasses this trend. Will the breakout of this short-term flag break out of a larger rounded bottom and propel Solana above $200 levels?
Solana shifts into aggressive gear
Gaining momentum, Solana Prices It briefly surpassed the $150 level. The 4-hour chart shows a bullish flag pattern breakout within a larger rounded bottom structure.
The altcoin is currently challenging the 50% Fib level at $154 after bouncing off the 38.20% Fib level at $145. However, the ensuing upward price reaction has triggered an evening star pattern, triggering a 2.5% drop over the past eight hours.
Nevertheless, the Solana reversal is a retest of the bullish breakout of the overhead trendline. The potential for a reversal after a retest from the overhead trendline break is large, thus signalling a new bullish cycle within a larger rounded bottom pattern.
Moreover, the surge in demand is reflected in the MACD indicator, which is indicating a positive crossover between the MACD and the signal line. The confluence of the 100 and 200 EMAs suggests a possible bullish crossover, while the rising 50 EMA on the 4-hourly chart provides dynamic support in case a correction occurs.
Will Solana Surpass $200?
The neckline of the broader rounded bottom pattern is near $160, just below the 61.80% Fib level of $163. Based on current price analysis and Fib levels, a breakout from the rounded bottom is likely to cross above the 100% Fib level of $192.
If this happens, the next resistance level at the 1.618 Fibonacci level is predicted to be $239.35, which would require an increase of around 60% from the current price of $150.
On the downside, key support levels are identified at the 38.20% Fibonacci level at $145 and the 23.60% level at $133.98.
Disclaimer: This content is for informational purposes only and should not be considered financial advice. The views expressed in this article may include the personal opinions of the author and do not reflect the opinions of The Crypto Basic. Readers are advised to conduct thorough research before making any investment decisions. The Crypto Basic is not responsible for any financial losses.
