Solana (SOL) price just reached a historic high, breaking volume and transaction records following the launch of TRUMP’s official coin on the Solana blockchain.
Technical indicators such as the EMA and Ichimoku Cloud show a bullish bias, but also hint at the possibility of weakening momentum in the short term. As SOL fluctuates near key levels, the question is whether the hype can push it to unprecedented levels above $300 or if the price will stabilize and test lower supports.
SOL: Ichimoku Cloud Suggests Trend May Weak
The Ichimoku Cloud chart for Solana indicates a mixed trend. Price is currently below the blue Conversion Line (Tenkan-sen) and the red Base Line (Kijun-sen), indicating short-term bearish momentum.
However, the price remains above the green cloud (Senkou Span A and Senkou Span B), signaling that the overall trend remains bullish.
The cloud front is expanding and remains green, suggesting potential stability in the long term. The narrowing gap between the Conversion Line and the Base Line suggests a weakening of short-term bullish momentum.
If SOL price moves back above these lines, it could indicate a re-strengthening, while a breakout below the cloud would suggest a downtrend.
Solana BBTrend Is Breaking Records
The Solana BBTrend index is currently at 25.34, down slightly from a recent peak of 25.99, its highest level since December 2023. BBTrend, or Bollinger Band Trend, measures price strength relative to the upper band and Bollinger’s bottom line, providing information on volatility and trend direction. A positive BBTrend value indicates bullish momentum, while a negative value indicates bearish momentum.
The SOL BBTrend index has remained positive for four days and is currently holding steady at 25.34, indicating sustained upward momentum, although the index has shown a slight decline from its peak.
This suggests that although SOL’s recent uptrend remains, the pace of the upward momentum may be slowing, potentially leading to near-term stabilization.
SOL Price Prediction: Could Solana Hit $300 In January?
The EMAs for SOL maintain a bullish structure, with the short-term averages above the long-term averages, signaling upward momentum. However, the narrowing gap between these lines suggests a weakening of the trend, signaling a possible reversal.
If bearish pressure increases, Solana price may have to retest the $223 support level. A break below this key level could trigger further decline, with the next support at $211 and $191 representing a psychological barrier as SOL price falls below $200.
In contrast, SOL just hit a new historic high, fueled by renewed excitement following the launch of TRUMP’s official coin on the Solana blockchain. If the momentum from this event is maintained and the hype increases, SOL could challenge the resistance levels above $280 and $294.