Solana (SOL) heads towards huge macro breakout

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As a seasoned crypto investor with a keen eye for market trends and an appreciation for the nuances of various blockchain projects, I’m particularly excited about Solana’s recent developments. The filing of Spot Solana ETFs by major players like VanEck and ARK 21Shares is a clear indication that institutions are bullish on Solana, which could lead to significant price action in the near future.

Following two applications for Spot Solana ETFs, the price of Solana ($SOL) appears poised to exit the triangular consolidation pattern it has been in since mid-March. However, it remains uncertain whether this impending breakout will result in a significant price increase or decrease.

The signs point to a promising future for Solana. Notably, two major asset managers, VanEck and ARK 21Shares, have filed applications with the SEC for Spot Solana Exchange-Traded Funds (ETFs). Although the SEC’s approval may still be over a year away, these filings indicate that institutions view Solana as the next logical investment step. This institutional endorsement is undeniably bullish for Solana’s prospects.

In the coming year, anticipate numerous comparisons between Ethereum and Solana as they vie for supremacy in terms of user base, transaction volume, and overall usefulness. Ethereum boasts its layer 2 solutions that enhance network scalability, whereas Solana handles everything on its main chain.

Ethereum is planning numerous enhancements to boost its competitiveness in the realms of scalability, speed, and transaction fees. In contrast, Solana is preparing to debut its Firedancer validator client, a potential revolutionary development that could significantly improve transaction speeds.

$SOL consolidates ready for potential breakout against $ETH

In terms of the value of Solana’s token, $SOL, it has been increasing not just versus Ethereum’s $ETH, but also against Bitcoin‘s $BTC for some time now. Over the past year, $SOL has experienced a significant surge, rising by 487% in relation to $ETH. Presently, $SOL is situated above the key support level of 0.618 Fibonacci, suggesting further potential growth against $ETH. However, it’s important to note that the upcoming Spot Ethereum ETFs could potentially influence $SOL’s price as well.

$SOL sideways then up against $BTC

With regard to Bitcoin (BTC), Solana (SOL) exhibits a comparable pattern. The Solana price has been consistently rebounding from the 0.618 Fibonacci level, which it hit at the beginning of the year. To advance to the next range with a peak of 0.0040 sats, SOL must first surmount resistances located at 0.0023 and 0.0027 sats.

$SOL macro breakout against USD

The price of Solana ($SOL) versus the US dollar is approaching the peak of its triangle configuration. Fibonacci levels offer valuable insights into where significant support can be found. Notably, the price has rebounded multiple times from the 0.618 Fibonacci support level. Additionally, the triangle’s lower boundary has been reinforced by prolonged wicks on the candlesticks, indicating a potential base for the triangle pattern.

An uptrend in $SOL‘s price suggests that an imminent breakthrough could occur, with a higher probability of this being a bullish move towards $200. Once surpassing this significant resistance level, $SOL would establish a robust foundation for potentially challenging its all-time high of $260.

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2024-07-02 13:12