Solana(SOL) Surges 20% From $100 Support, Faces $120 Resistance

Solana (SOL) has recently initiated a fresh upward trend from the $100 support zone, marking a significant movement in the cryptocurrency market. The price of SOL has surged past key resistance levels, including $105 and $112, against the US Dollar. This upward momentum has been supported by a break above a connecting bearish trend line with resistance at $107 on the hourly chart of the SOL/USD pair. The price has since spiked towards the $120 resistance zone, forming a high at $120.10 before retreating slightly.

Currently, SOL is trading above $105 and the 100-hourly simple moving average, indicating a strong bullish sentiment. However, the price is facing resistance near the $118 level, with the next major resistance at $120. A successful close above the $125 resistance zone could pave the way for another steady increase, potentially reaching the $132 and $140 levels. Technical indicators, such as the hourly MACD and RSI, suggest that the bullish momentum is losing pace but remains in the bullish zone, with the RSI above the 50 level.

If SOL fails to rise above the $118 resistance, it could start another decline. Initial support on the downside is near the $112 zone, with the first major support at the $110 level and the 50% Fib retracement level of the upward move from the $101.24 swing low to the $120.10 high. A break below the $110 level might send the price toward the $105 zone, and if there is a close below the $105 support, the price could decline toward the $100 support in the near term.

In summary, Solana's recent price action indicates a strong bullish trend, with the cryptocurrency facing key resistance levels at $118 and $120. A successful break above these levels could lead to further gains, while a failure to do so could result in a decline towards the $100 support zone. The technical indicators suggest a bullish sentiment, but the momentum is losing pace, indicating a potential consolidation phase before the next major move.