With the recent market recovery, the Solana price saw a rise above the $200 mark before declining once again. This places a lot of resistance at this level, as there is still a lot of selling going on above $200. Nevertheless, this has not completely eroded the bullish sentiment that surrounds the cryptocurrency. In fact, despite the slow market pace, the Solana price looks to be gearing up for another major move that could aid its campaign for new all-time highs.
Why The Solana Price Could Rally 16%
According to crypto analyst MadWhale, the Solana price is one of those in the cryptocurrency market that could be lurking just under the radar before a major move upward. The current calm, MadWhale explains, is likely the calm before the storm and the resulting rally could be explosive.
So far, the Solana price has retested a key daily support at $180, and the bears have been unable to break this level. The major thing now is that the altcoin continues to maintain support above this level, and the bullish momentum is sustained. But in the case of a breakdown, there could be a further decline in the price.
In the case of a bounce, the crypto analyst expects the price to rise by around 16%. From the current price level, a 16% bounce would put the Solana price above the $230 target, putting it on the path for further possible uptrend, especially as the market starts to climb.
How To Spot The Next Move
When it comes to spotting cryptocurrencies with potential like Solana, the crypto analyst explains that investors need to buy when the market is quiet. One major tell is the fact that despite the market chop, the volume has been rising, and this shows there is a lot of buying happening at this point.
Next is the rise in the Bitcoin price. Historically, the Bitcoin price has set the tone for the entire crypto market, and that has not changed. Given this, it is also important to note how smart money is moving when it comes to Bitcoin.
Overall, though, MadWhale explains that it all comes back to volume when it comes to catching the next mover. If the volume remains on the rise and the support never breaks, this points to buying. Thus, as the Solana price has continued to hold support above $180 and the volume is still rising, it suggests that the altcoin is on the cusp of another breakout.
Featured image from Dall.E, chart from TradingView.com
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