Solana shows an inverted head and shoulder pattern in the 4H chart with a neckline at $185. Amid the recovering market, the overnight jump in SOL tokens hints at a clear rally to the $250 milestone.
As Bitcoin approaches the $70K mark, the altcoin market rises at breakneck speed, with many teasing a new all-time high. Amidst this, the recently turned fourth biggest cryptocurrency, Solana, prepares for a breakout run in smaller timeframes.
With sideline players anticipating a domino effect leading to massive effects on the daily chart, the $250 juncture is the next target. Will Solana continue the bull run to reach the $250 goal this week?
A Pattern Breakout For Solana Clears The Path To $200
Solana forms a rising trend with a solid uptrend in the 4H chart, providing multiple bounce-backs. Further, the bull run with the support trendline accounts for 55% and surpasses the $190 mark.
However, the $185 resistance zone leads to the sideways shift and the inverted head and shoulder pattern.
Finding the bullish push with the broader market recovery, Solana broke the neckline with an intraday rise of 3.68%. Further, the 12% jump since last Friday starts a streak of bullish candles and approaches the $200 psychological milestone. Currently, the SOL token trades at a market price of $191.90 and a market cap of $89.12Bn.
Moving on to the technical indicators, the RSI line enters the overbought territory in the 4H chart. Thus, a minor retest of the bullish breakout is a possibility. Further, the possibility of evening stars increases in the 4H chart with a recent Doji candle.
Number of Active Solana Addresses Tops 2Mn
In a broader sense, the growing strength of the Solana network is fueling the surge in SOL token price. With a TVL of $5.667B, the third-biggest chain completes a milestone in active users.
As per the number of active addresses on the Solana network by The Block, the metric hits 2 million.
Will SOL Price Top $250?
Retracing the Fibonacci levels over the bull run, the inverted head and shoulder breakout rally faces opposition at the 38.20% Fibonacci level. Further, as the broader market recovers, Solana crossing above the $200 mark will ignite the next stage of the bull run.
As per the Fib levels, Solana could hit the $231 or $253 levels in the coming days.
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