The $SOL price descended to $123, a slightly higher level than what could have been the bottom at $121. A potential double bottom here could signal that the swing low is now in place, and that the next big rally to the upside can now begin.
$SOL price finds a double bottom?
Source: TradingView
The 4-hour time frame for $SOL shows that the price has been traversing inside a descending channel, forcing the price lower as it goes. However, that channel has now met with what could be the superior force of a major ascending trendline, plus a very strong horizontal support level.
It can be observed that currently the price is battling to get back above these two major supports. With the Stochastic RSI indicators heading back to the top, signalling upside price momentum, it shouldn’t be too much of a problem for the price to regain these supports.
$SOL next price targets
Source: TradingView
The daily chart gives more of a high time frame perspective, and enables one to see where the price could be going if a bottom has been found.
Once, and of course, if, the $SOL price is able to consolidate above the major supports, the next targets would be in this order: the resistance at $142, the top of the descending channel, the $156 horizontal resistance, and then a higher high at $172 which would confirm a change in trend.
At the bottom of the chart, the RSI indicator can be seen to have broken through the downtrend and is potentially testing and confirming this breakout. If this happens, it would be expected that the price action above would follow this lead and rally up.
$SOL hugely bullish in weekly chart
Source: TradingView
The weekly view for the $SOL price looks very bullish indeed. The $126 horizontal support level is incredibly strong, and the fact that the price has met with this level at the same time as the major ascending trendline would point heavily towards a big bounce from here.
Casting one’s eye down to the Stochastic RSI at the bottom of the chart totally reinforces this view. This indicator on the weekly time frame is very powerful, and it reveals that the indicator lines are at the bottom and ripe for a cross back to the upside.
If one also takes into consideration that the 2-week Stochastic RSI indicators are coming down fast, and are likely to bottom in the next week or so, huge upside price momentum may not be too far off.
If the $SOL price can set a higher high at the $175 level, as already mentioned, the macro swing high at $253 would be next. Stand by for a possible major eruption in the $SOL price.
