Amid the altcoin recovery run, Solana witnesses a boost in network and price trends. As bulls prepare for a breakout run to $250, the on-chain growth supports the bullish trend chances.
Solana is holding on to crucial support as the crypto market slowly recovers after a massive correction in the starting hours. Currently trading at $216.95, Solana registers an intraday fall of 0.37%. Despite the slight decline, Solana continues to exhibit strong fundamentals and resilience.
Despite the pullback in the Solana price SOL $126.5 24h volatility: 2.7% Market cap: $71.23 B Vol. 24h: $5.80 B , the network growth records a new all-time high. This milestone highlights the growing adoption and robust activity within the Solana ecosystem. Will this underlying boost in the Solana network result in a breakout rally?
Solana in a Channel Eyes Breakout Run to $250
In the 4-hour chart, the Solana price trend reveals a falling-channel pattern. Currently, the SOL price struggles to break past the overhead resistance trendline, signaling a bullish failure at this critical level.
This results in a quick reversal from $226.71 or the 38.20% Fibonacci level. The downfall has reached the 23.60% Fibonacci level but maintains dominance over the $215 psychological mark. Such dominance underscores Solana’s strong support at this critical price zone.
With multiple lower price rejections at this level, the bulls are attempting a comeback. The struggle to reclaim the 23.60% Fibonacci level highlights a crucial crossroads.
The 4-hour RSI line is moving sideways, slightly below the halfway level, maintaining the chances of a bullish comeback. With a bullish divergence, the momentum indicator flashes a slightly bullish signal. This divergence suggests the potential for a short-term upward price movement.
On the bearish front, the 50 and 200 exponential moving average lines in the 4-hour chart have given a death cross-over, signaling a bearish continuation to the $200 psychological milestone.
Solana Network Hits Record Highs
The Solana network has hit a new all-time high as the broader market recovers from a quick pullback. With daily transactions reaching 66.9 million, it has surpassed all the other chains. This surge in activity underscores Solana’s growing dominance in the blockchain ecosystem.
BREAKING: @Solana daily transactions (non-voted) hit a new all-time high, surpassing all other chains combined.
Transactions: 66.9 million pic.twitter.com/e1RByWQ6Nc
— SolanaFloor (@SolanaFloor) December 18, 2024
However, the transactions include non-voted transactions as well. Along with the increased transactions over the network, Solana has surpassed Ethereum and Binance Smart Chain in terms of DEX trading volume.
With the 24-hour trading volume reaching $5.441 billion, Solana has outperformed Ethereum’s $2.562 billion and Binance Smart Chain’s $2.319 billion. This achievement marks a significant milestone, as Solana’s trading volume exceeds the combined value of Ethereum and BSC.
BREAKING: @Solana surpasses the combined 24-hour DEX trading volume of Ethereum and Binance Smart Chain. pic.twitter.com/fg8BZnsnAR
— SolanaFloor (@SolanaFloor) December 18, 2024
SOL Price Targets
If the outcome is bullish, the uptrend is likely to challenge the confluence of the overhead resistance trendline and the 38.20% Fibonacci level near $226. Further, an extended rally with a bullish breakout could reclaim the $250 mark.
Conversely, closing below the $215 mark will likely result in a retest of $203.27 and put additional pressure on the $200 psychological mark.
In conclusion, as Solana gradually regains bullish momentum, the altcoin reflects resilience amidst market volatility. As SOL price holds key support levels, the record-breaking network growth targets bullish targets for the coming year.
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