Over the past 24-four hours, Solana (SOL) maintained a strong position above the $35.00 support level and displayed a reversal pattern indicating a rebound.
As of this writing, SOL is trading at $36.86, up 13% in the last seven days, data from Coingecko show. SOL currently has a trading volume of $1,177,991,581, down 24% in the last 24 hours.
The support zone for SOL is between $20 and $30. SOL was in a sideways market for 24 days after it plummeted to the support zone, and ultimately the cryptocurrency began to make a modest reversal.
Solana 3-Day Ascent: Bulls Take Charge
The price of Solana has began a commendable reversal after a disastrous decline in recent weeks. Since the upper low at $31 was written on the final day of June, the bulls have constructed a 14 percent three-day rally starting July 5.
A golden cross of the 8- and 21-day simple moving averages (SMAs) provided the Bulls with a valid entry signal on July 6. At $35, there was a brief liquidity hunt to shake out weak positions.
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Traders are currently observing “FOMO” traders who set their original trade’s invalidation level below the SMAs enter the market.
On the daily price chart, the price of Solana is attempting to hold near the ascending trendline. Immediately after departing the ascending curve, SOL has been consolidating within the horizontal range-bound area.
However, the cryptocurrency can return to the ascending curve by registering an exit from the consolidation period.
In this unfavorable climate, the token must also continue its rising momentum in order to rise. As a result, volume indicates that the coin is experiencing short-selling pressure and sellers are attempting to trap the token within the horizontal range-bound area.
SOL total market cap at $12.7 billion on the daily chart | Source: TradingView.com
SOL Poised To Outperform ETH In NFT Markets
DappRadar, a platform that provides information and insights on all existing decentralized applications (DApps), has indicated that, because of its its cheap gas prices and entry restrictions, SOL might potentially surpass Ethereum (ETH) as the main blockchain in the NFT markets.
Despite a fall in the trading volume of other blockchains, notably ETH, DappRadar pointed out that the trading volume of SOL has been increasing.
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In its most recent analysis, DappRadar finds that Solana is performing exceptionally well in the NFT market despite the crypto market’s precipitous decline.
In terms of sales volume, Solana also beat other blockchains, according to the research.
Solana and Avalanche emerged as the clear winners with a 21 percent and 15 percent rise in trading volume, respectively, according to DappRadar.
Featured image from Analytics Insight, chart from TradingView.com