Solana (SOL) Posted Gains Monday, Closing Near $139.90 (+0.33% 24h) After Dipping Below $136

Solana (SOL) posted gains Monday, closing near $139.90 (+0.33% 24h) after a volatile session dipping below $136 then recovering strongly above $142.

Solana (SOL) price closed Monday with slight gains of 0.33% over 24 hours, reaching $139.90 at 12:22 ET. The crypto recovered from a brief dip below $136 to a high of $142.06 during a volatile session.

Solana’s trading volume also surged by 48.04% to $3.31B in 24 hours, while its market cap amounted to $72.31B (Vol/Cap 4.57%). This high volume amid a small market cap increment pointed to short-term traders’ activity being more prominent.

Solana Price Chart 1 Hour (01-03-2024 12:20 UTC). Credit: Benzinga Pro

What Happened, Technical Indicators

Solana’s price movements coincided with heightened scrutiny on US monetary policy. Notably, President Trump expressed irritation over the slow pace of interest rate cuts, which he tied to crediting President Biden for economic gains.

“The Radical Left Democrats & the President are in no hurry to Pay Down the National Debt, which is a priority for the Republican Party. They are also raising taxes on the Middle Class to fund their programs. No thank you! We want low taxes, strong jobs, and no new programs!” Trump stated on Truth Social.

He further penned, “Unbelievable. They are reporting that Biden "is considering" cutting the "small" portion of Social Security that goes to people who have a good income. But Biden will not cut the large portions that go to low income people or the increased portions that go to politicians like him!”

On the technical front, Solana's momentum shifted in a favorable direction. The MACD showed a bullish crossover, with the MACD line at 2.87 crossing above the signal line at 2.35. The growing distance between the two lines and rising green histogram bars suggested increasing upward pressure.

Also Read: Top 5 Crypto News: Bitcoin, Ethereum, Solana

Meanwhile, the RSI currently stood at 58.62. While this level was below the overbought mark of 70, it remained above the RSI moving average of 51.16. This position indicated that buyers were gaining control, with room for continued gains.

What’s Next For Solana

Solana’s price movements unfolded amid a broader cryptocurrency market showing resilience despite pessimistic predictions. Notably, Bitcoin (BTC) price remained above the critical $35,000 level, displaying strength despite predictions of a steeper downturn from $30,000.

Solana’s price action also came as Chair of the Federal Reserve Jerome Powell faced mounting political pressure. President Trump on Monday morning continued his criticism of Powell, focused on the slow pace of interest rate cuts.

“The no good Radical Left Democrats & the President are in no hurry to Pay Down the National Debt, which is a priority for the Republican Party. They are also raising taxes on the Middle Class to fund their programs. No thank you! We want low taxes, strong jobs, and no new programs!” Trump wrote in a post on Truth Social.

His comment follows a report by Real Clear Politics that President Biden is considering cutting the "small" portion of Social Security that goes to people who have a good income. However, Biden will not cut the large portions that go to low-income people or the increased portions that go to politicians like him.

Earlier this week, President Trump slammed Biden and stated that the president’s incompetence is on full display as he prepares to slash Social Security benefits for high-income Americans to fund his own programs.

“The incompetence of Joe Biden is now on full display as he prepares to slash Social Security benefits for high-income Americans and to fund his own programs,” Trump wrote in a post on Truth Social on Monday.

The post comes after President Biden is reportedly planning to propose changes to the Social Security program in his upcoming State of the Union address.

According to reports, Biden is considering cutting the benefits that go to higher-income Americans while leaving the benefits for lower-income Americans untouched. He is also planning to increase the payroll tax in order to fully fund the program.

The report also claims that Biden is planning to propose raising the taxable income threshold for the payroll tax, which would effectively create a new tier of Social Security benefits for higher-income Americans.

However, it is unclear how these proposals would be received by Congress, especially given the increasing political polarization in recent years.

It is also worth noting that Social Security is a highly sensitive topic in American politics. Any changes to the program are likely to be met with fierce opposition from some quarters. For example, Republicans have consistently opposed any attempts to raise taxes in order to fund government programs.

Ultimately, the fate of Social Security will depend on the ability of President Biden and Congress to reach a