Highlights:
- Solana is trading at the $158.54 support level
- A rally off this support could see Solana hit $200 short-term
- Strengthening core metrics and broader market factors could push SOL to $200
Solana is in the green today as the broader crypto market starts to send bullish signals. In the last 24 hours, Solana has gained by 0.25% to trade at $161.88. However, volumes are on the rise, an indicator that the level of investor activity remains high despite the relative calm across the market. In the last 24 hours, Solana trading volumes have gone up by 4.50% to stand at $2.84 billion.
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Technical Analysis – Solana Price Trading at Key Support Level
From a look at the charts, Solana is sending the same signals that are coming from the other top cryptocurrencies of the day. It is trading at a key support level. This is an indicator that the market is awaiting the results of the US elections.
Depending on the outcome, any cryptocurrency that is sitting at support could either rally off it or breach it in a correction. In this context, Solana is currently trading around the $158.54 support. If the outcome of the US election turns investors bullish on Solana, then a rally to the $184.62 resistance could follow.
A rally through this resistance could see Solana hit prices as high as $200 in the short term. On the other hand, if the outcome of the election turns investors bearish on cryptocurrencies, bears could push Solana through the $158.54 support. In such a case, Solana could drop to the $136.44 support.
US Election Outcome Could Trigger Rally
Of these scenarios, there is a good chance that Solana could rally off the $158.54 support and test $200 or more in the short term. That’s because, in the event of a Trump win, a wave of euphoria could hit the market, and trigger a Bitcoin rally to highs of $80k or more in a few long candles. This would in turn uplift altcoins, especially those that have shown to do well in Bitcoin rallies, such as Solana.
While a Kamala win is not necessarily exciting for cryptocurrencies, there is a good chance that support levels could hold. This includes the $158.54 support level for Solana. That’s because, while the Biden administration has largely been anti-crypto, Kamala has been showing a softer stance on cryptocurrencies.
This could mean that the 4-year cycle that cryptocurrencies follow, could go on even if she wins. In such a case, Solana could still rally off support, test $200 short-term, and potentially make new highs in early 2025.
Solana Core Fundamentals Getting Stronger
Besides the macro dynamics introduced by the US election, there is a lot that supports Solana’s growth in terms of core fundamentals. Solana continues to grow in stature as one of the top networks for launching meme coins and other projects. The latest metrics for Solana point to growth on this front. Data shows that in October 2024, $600 million was transferred from other networks to Solana.
1/ What happens after the biggest Breakpoint yet? The ecosystem ships even harder.
From Solana stablecoin payments with Stripe to a record-breaking hackathon, the community kept delivering.
Grab a coffee and catch up with some highlights from October 🧵 pic.twitter.com/aBp8HO9m22
— Solana (@solana) November 4, 2024
The number of active Solana addresses also exceeded 120 million in a month, a pointer to the growing adoption of Solana. This is important because it gives Solana a strong intrinsic value. That’s because all the projects launching on the Solana blockchain use SOL tokens for transactions. Given how meme coins dominate trading during bull cycle, these growing metrics for Solana could push the price to new highs once the broader market starts to rally.
A Recap on Solana Price
Solana is trading at a key support level, which means it could go either way. However, with the broader market firmly within the 4-year bull cycle, and Solana’s strong metrics, the odds favor bulls. Also, the outcome of the US election could be a key trigger that puts Solana on a parabolic price run. $200 remains a viable short-term target.
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