Solana (SOL) Price Eyes Fresh Surge After Finding Support Near $175

After a downside correction, Solana found support near the $175 zone. A base was formed and the price started a decent increase above the $185 resistance

Cryptocurrency prices have been rising again in 2023 after a difficult 2022. Bitcoin (BTC) has led the way, surging from a low of $15,400 in November to highs above $23,000. The world’s second-largest cryptocurrency, Ethereum (ETH), has also rallied strongly, rising from lows below $1,100 to highs above $1,700.

Now, Solana (SOL) is also showing signs of life after a strong performance in 2022. The cryptocurrency, which is known for its fast transaction speeds and low fees, rallied significantly last year, rising from lows around $17 in January to highs above $263 in April.

Solana price eyes fresh surge from key support

After a strong rally in 2022, Solana (SOL) prices found support near the $175 zone. A base was formed and the cryptocurrency price started a decent increase above the $185 resistance.

The bulls were able to push the SOL price above the key barrier at $200. More importantly, SOL cleared a major contracting triangle with resistance at $210 on the daily chart.

Finally, the cryptocurrency price tested the $220 resistance zone and the 50-day simple moving average (blue). Solana is now consolidating below the $220 resistance zone and the 50-day simple moving average (blue).

It seems like the bulls are struggling to clear the 50% Fib retracement level of the downward move from the $263 swing high to the $175 low.

If they continue to struggle, there could be another bearish reaction. Immediate support is near the $210 level. The first major support sits near the $200 level.

The main support is now forming near the $195 zone, below which the cryptocurrency price might gain bearish momentum. The next support sits at $175.

Any more losses could send SOL toward the $155 support zone in the near term. Conversely, Solana could see a fresh increase.

Immediate resistance sits near the $220 level and the 50-day simple moving average (blue). The first major resistance sits near the $230 level and the 61.8% Fib retracement level of the downward move from the $263 swing high to the $175 low.

A clear move above the $230 level could send SOL toward the next key resistance at $244. A successful daily close above the $244 resistance might open the doors for a test of the $265 barrier.

If there is a clear move above the $265 barrier, the cryptocurrency price could rise toward the $300 level in the coming days.

Recently, Solana shared details of its Alliance & Solana Ideathon on Jan 15th in NYC. It provides you a chance to pitch your product ideas to a panel of judges.