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- 1 Since the end of January, the SOL coin has returned more than 25% since the end of January 2024.
- 2 The SOL price has broken the $100 mark once again in 2024.
Solana (SOL/USDT) has crossed the $100 mark once again for the 2nd time in January. The coin has broken its resistance level of $101 which confirms the bullish entry in the SOL price.
What Caused the SOL Price to Surge?
Analysts believe that the surge in SOL’s price can be attributed to the hype around the airdrops that occurred on the network after the newly launched JITO token was listed on major centralized exchanges at the beginning of December 2023.
JITO achieved a market capitalization of over $300 million within the first few hours of trading, which led to the BONK meme coin being launched on December 14, 2023. This caused a sellout of Solana’s Saga phone, as some airdrops were targeted at mobile phone users. TheCoinRepublic reported on this earlier.
Despite experiencing outages due to increased activity in December 2023, competing blockchains such as Arbitrum, zkSync, and BNB Chain, the bullish momentum in Solana was supported by a significant surge in volume within its decentralized applications (DApps) ecosystem.
Following the initial rush for Solana SPL tokens, which resulted in losses of 40%, 41%, and 44% for JITO (JTO), DogWifHat (WIF), and BONK, respectively, investors are questioning whether there is any other support for SOL’s $42 Billion valuation, which makes it the fourth-largest cryptocurrency, excluding stablecoins. However the recent bullish push is confirming the bull’s grip on the SOL price.
What is Next For SOL Price?
At the press time, the SOL price is trading at the level of $106 after breaking the immidiate resistance of $101. However, the confirmation of the breakout is somehow confirmed looking at the 3 continuous bullish candels from the past days.
A steeper uptrend which started in mid-October last year was broken during mid-January. However, there is still another trendline which shows that the bullish momentum is not broken.
The 50-Day EMA is providing the required support at the $92 level. Going a little further down the immidiate support level is at $83. Looking at the current scenario the price target for SOL price will be at the 2nd resistance level of $117. However, if the bears take over then the current price may fall below the 50-Day EMA. A good point of entry will be within the range of $103 and $109.
Summary
Solana (SOL/USDT) has crossed $100 for the 2nd time this month due to the hype around recent airdrops on the network. Despite a dip in mid-January, there is still a bullish trendline indicating upward momentum.
Technical Levels
- Support Levels: $83 and $68
- Resistance Levels: $101 and $117
Disclaimer
The views and opinions stated by the author, or any people named in this article, are for informational purposes only. They do not establish financial, investment, or other advice. Investing in or trading in stocks, cryptos or related indexes comes with a risk of financial loss.
Anurag is working as a fundamental writer for The Coin Republic since 2021. He likes to exercise his curious muscles and research deep into a topic. Though he covers various aspects of the crypto industry, he is quite passionate about the Web3, NFTs, Gaming, and Metaverse, and envisions them as the future of the (digital) economy. A reader & writer at heart, he calls himself an “average guitar player” and a fun footballer.
