Traders Show Confidence in Solana Recovery After Sub-$260 Dip
On November 23, Solana’s (Sol) price hit an all-time high, sparking speculation that the altcoin could rise to $300. While this has not happened, recent data suggests Solana Traders are betting on a rebound.
Why are traders so confident? this On-chain analysis Explore whether these positions are profitable or whether many are at risk of liquidation.
Solana long keeps shorts out of the way
Data from Coinglass shows that Solana’s long/short ratio has climbed to 1.17 on the 1-hour time frame. This ratio measures market expectations and indicates whether the majority of traders are bearish or bearish. bullish Position.
When the ratio is below 1, it indicates more shorts There are more (sellers) than longs (buyers). Conversely, a ratio above 1 indicates that there are more traders betting that prices will rise than those expecting prices to fall.
Currently, 54% of Solana traders hold long positions, while 46.17% expected to decline Under $255. This indicates a bullish bias among traders, with more optimism for a token’s price to rise than for its price to fall.
In addition, due to Solana trading volume rises Rate, is the number of successful transactions processed per second on its blockchain.
An increase in transaction rates indicates increased user activity and engagement with the cryptocurrency, while a decrease in transaction rates indicates a decrease in interest. According to Glassnode, Solana’s transaction rate has been climbing. If this trend continues, there may be Promote SOL price increase Its all-time high.
SOL Price Forecast: Still potential to rise
On the weekly chart, Solana’s price has surged to 20 and 50 exponential moving averages (EMA), key indicators for measuring trends. When prices rise above the moving average, it indicates a bullish trend, while falling below the moving average usually indicates bearish momentum.
With SOL currently trading at $255, above both moving averages, the altcoin appears poised to continue rising higher. The formation of a bull flag further supports this bullish outlook.
A bull flag is a continuation pattern that indicates that once the price breaks out, it is likely to maintain its previous upward momentum. As shown below, SOL has broken out Consolidation pattern, and is moving higher.
As long as the price remains above the upper trendline during the consolidation phase, it could rise to $325. However, this bullish scenario could change if the selling pressure persists. In that case, SOL may fall Under $200.
Disclaimer
conform to trust project Guide, this price analysis article is for informational purposes only and should not be considered financial or investment advice. BeInCrypto is committed to providing accurate and unbiased reporting, but market conditions are subject to change without notice. Always conduct your own research and consult a professional before making any financial decisions. Please note that our terms and Conditions, privacy policyand Disclaimer Updated.
