Solana [SOL]: Bulls out to defend the $21 support – Will they prevail?

Disclaimer: The knowledge offered doesn’t represent monetary, funding, buying and selling, or different varieties of recommendation and is solely the author’s opinion

• Bulls concerted efforts to defend the 61.8% Fib assist stage of $21.
• The funding price was optimistic, however sellers had little leverage primarily based on the lengthy/quick ratio.

Solana [SOL] took a cue from Bitcoin [BTC]. It consolidated throughout the $20 – $22 vary as BTC traded inside $26.8K – $28.8K up to now few days.

It exhibits a bullish sentiment as bulls maintain on to their place as they anticipate a possible rally. A bullish BTC may tip SOL bulls to focus on a former value ceiling stage. 

Learn Solana [SOL] Worth Prediction 2023-24

Will the 61.8% Fib stage stay regular for bulls?

Supply: SOL/USDT on TradingView

SOL plummeted by over 15% after hitting the $23.91 value ceiling. However the $20 assist prevented additional value dump, boosting bulls to aim a restoration.

Bears thwarted the restoration, and a retracement noticed SOL hit the 50% Fib stage ($19.95). At press time, bulls had inflicted one other restoration try and concerted efforts to maintain SOL above the 61.8% Fib stage ($20.88). 

If BTC goes past $28K and reclaims the $29K value zone, SOL may defend the 61.8% Fib stage ($21) assist. SOL may transfer to retest the 76.8% Fib stage ($22.21) or the overhead resistance stage of $23.91. A success on the availability zone of $26 may entice elevated promoting stress. 

An in depth under the 61.8% Fib stage ($20.88) may additionally entice one other spherical of promoting stress. However the $20, $19, or $18 assist ranges may gradual the drop. Thus these ranges can act as promoting targets within the occasion of a pointy downswing, particularly if BTC drops under $28K. 

The RSI (Relative Energy Index) and OBV (On Stability Quantity) moved sideways on the time of writing, reinforcing the consolidation part underway at press time. Because it was a weekend, a extra particular value course might be formed from Monday (April 3). 

Shorts dominated longs by a small margin

Supply: Coinglass

In response to Coinglass, the lengthy/quick ratio was barely skewed in direction of sellers at press time. It means sellers may doubtlessly breach the 61.8% Fib stage and entice much more promoting stress. 

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However, the funding historical past has been optimistic for the previous few days, denoting the underlying bullish sentiment. Regardless of the hopes for an additional rally, buyers ought to wait and monitor BTC value motion to make higher strikes. 

Supply: Coinglass