Key Insights:
- Solana price broke out of a falling wedge near $106 and is forming a bullish double-bottom pattern targeting $262.
- A close above the $184 resistance may trigger a 58% rally, aligning with historical breakout trend.
- Analysts chart shows SOL building higher lows with strong horizontal support.
According to analysts, Solana (SOL) price is showing strong bullish technical signals, indicating a potential recovery. The combination of a falling wedge breakout, key resistance test, and higher lows has set the altcoin up towards a potential rise to $262.
The present SOL price layout unites several bullish turnaround arrangements and past support levels, setting the stage for an additional altcoin rise.
Here’s Why Solana Price Could Rally To $262 This Cycle
A crypto analyst has argued that Solana price has already broken out of a declining wedge formation. This pattern, developed between January and April, is known to come before bullish reversals. The break happened close to the $106 level, which absorbed horizontal support on numerous occasions in market corrections.
The analyst highlighted that this level was a good foundation and acted as the first leg in the potential double-bottom formation. Solana price action has since produced higher lows, indicating a shift in structure. The formation is now heading toward the neckline resistance at $184, a historical level that rejected previous uptrends.
Moreover, Solana price resistance near $184 is critical. According to the chart, SOL has reached through this level on several occasions and failed to close above it. A closing above this level on a daily basis would enhance the validity of the double-bottom formation and a reinstatement of the prevailing trend.
In case it is confirmed, the next technical movement according to the technical measurements suggested that Solana price will reach the mark of $262. This is an increase of 58% relative to the breakout level. The analyst also adds that this target also aligns with the previous price highs, which were last seen in significant upsurges at the end of 2023.
SOL Bullish Continuation Confirmed by Technical Indicators
Another analyst, Lark Davis, added that Solana price trend reflected strong momentum. After a bounce from $159, SOL price moved toward $166 and is now forming an ascending triangle. This pattern typically supports upward continuation, especially when resistance is tested repeatedly.
Solana price $169 resistance area has acted as a horizontal cap within this triangle. Multiple retests of this level have weakened its structure. Trading volume has increased in recent sessions, supporting the bullish case.
Analyst Davis adds that the MACD indicator now shows bullish alignment, with price trading above all major EMAs.
More so, the SOL price $185 level was noted in recent Solana news as a potential breakout target. Analysts suggested that if SOL closes above $167, the bullish structure could extend toward this mark.
In the meantime, the Relative Strength Index (RSI) has reached 59.75, which is near to the overbought level of 70. This indicated an increasing bullish movement as Solana price consolidated above the $166 price mark. Further increase in RSI may be an indication of imminent breakout in case of resilient buying pressure.
Rising Lows Signal Accumulation Before Breakout
Analysts agreed Solana price formed a sequence of higher lows compressing against horizontal resistance. This structure often precedes breakouts.
The combination of the wedge breakout and triangle formation increased the likelihood of a rally continuation.
If SOL clears $184, the next resistance zones lie near $200 and $262.
The bullish structure remains valid as long as price holds above the $154–$159 support range.
A recent SOL price prediction suggested further upside toward $200, driven by bullish technical formations.
Analysts cited a golden cross and an inverse head-and-shoulders pattern, both pointing to strong upward continuation.
Disclaimer
This article is for informational purposes only and provides no financial, investment, or other advice. The author or any people mentioned in this article are not responsible for any financial loss that may occur from investing in or trading. Please do your research before making any financial decisions.
The post Solana Price Targets $262 as Bullish Patterns Align appeared first on The Market Periodical.
