TL;DR:
The cryptocurrency ecosystem is watching closely as Solana reclaims $85 and climbs following a phase of intense selling pressure. All this occurs while the general market sentiment remains in “Extreme Fear,” yet the asset has managed to distance itself from recent lows, attempting to challenge the dominant negative trend.
Despite this improvement in short timeframes, such as the 15-minute and one-hour charts, the macro structure on the daily chart remains bearish. The price is still trading below the 20, 50, and 200-day moving averages, meaning this movement could be a simple technical mean-reversion adjustment.
The RSI indicator recently dipped below 30 points, which generally signals seller exhaustion. However, experts warn that being in oversold territory does not guarantee a definitive floor, but rather the possibility of temporary bounces that are often exploited for further selling.
For this rise to transform into a true structural reversal, the $85 level must turn into solid support and advance toward the $100 zone. This latter range coincides with the 20-day moving average and the middle section of the Bollinger Bands, functioning as the ultimate psychological barrier for the bulls.
In another scenario, the bullish thesis would be quickly invalidated if the momentum fades and the price closes back below $78. In that case, volatility measured by the ATR suggests that the asset could once again seek the lower Bollinger Band, located near $65, extending the bearish cycle.
In summary, the outlook for Solana is one of productive caution, where intraday traders capitalize on the bounce while long-term investors wait for structural confirmation. The final direction will depend on the asset’s ability to attract institutional volume and overcome the dynamic resistances that still hang over its price.
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