Solana Price Prediction – Who’s Up For a Buy Limit at $240?
Arslan Butt • 2 min read
On Monday, Solana’s price prediction remains bullish above $240 level. SOL/USD closed at $249.644 after posting a high of $258.581 and a low of $245.752. SOL/USD lost some of its previous day’s gains on Sunday and dropped over the weekend as the cryptocurrency faced a temporary slowdown before heading higher.
Solana is a leading Ethereum competitor, and it has been rising in value as the demand for Ethereum and other competing projects increased in the market. This year, SOL has risen about 17,500% according to CoinGecko and has become the fourth-largest cryptocurrency by market value. The coin rose to its all-time high near $260 and reached a market cap above $76 billion on Saturday.
Over the weekend, Solana surpassed Cardano and leading stablecoin Tether to become the fourth-largest cryptocurrency by market capitalization. The coin is behind Binance Coin’s $109 billion market cap, the third-largest cryptocurrency, Ether’s $540 billion, and Bitcoin’s $1.17 trillion.
Furthermore, on Friday, FTX, Lightspeed Venture Partners, and Solana Ventures announced that they were investing $100 million in Web3 gaming development to support gaming studios and technology that integrates the Solana blockchain into video games, desktop and mobile platforms. In simple words, desktop and mobile game developers will be attracted to build their projects on top of Solana’s public blockchain, which will ultimately increase the adoption of SOL.
This potential feature pushed speculators to treat Solana as one of the most serious challengers to Ethereum, which is the leading smart contract platform but comes with issues of higher gas fees and network congestion.
Solana claims that it can process 50,000 to 60,000 transactions per second for an average fee of $0.00025, whereas Ethereum can only process 15 to 30 transactions per second for a fee ranging between $4 and $21.This feature of Solana has been making it the strongest competitor of Ethereum and is pushing its prices higher by increased adoption.
On Sunday, the price was down, and the downward trend could be attributed to the price correction after the SOL hit an all-time high. It is the usual nature of investors to book profits when the price reaches all-time high levels, which reverses the course of prices and reverses the trend.
Solana Price Prediction – Upward Channel Underpins at $240.14
The SOL/USD coin is trading with a slight bearish bias at 240.14, which has dropped from $260. On the 4-hour timeframe, the SOL/USD has formed an upward channel supporting the coin at $240. The violation of this level can extend the selling trend until the next support level of $230 and $221.
Daily Technical Levels
Pivot Point: 251.326
On the bearish side, a breakout of the $221 level can open additional room for selling until the $205 support zone. On the higher side, the significant resistance stays at 256 and 259 levels. At the same time, the violation of these levels can trigger buying until 276 level soon.
Let’s keep an eye on 240 support to stay bullish or bearish below it. Good luck!