Solana bounces back after a big drop earlier in the week

by in Cryptocurrency News

SOL

At the beginning of this week, the altcoin Solana (SOL) collapsed to $30.64 on a wave of strong sales. Capital exited cryptocurrencies due to the negative that returned to the stock markets.

The coin began to win back losses last Wednesday, and its value increased by more than 11% in two days. On Friday, the SOL rate strengthened to $35.42, and the capitalization of the cryptocurrency during the European session reached $12.51 billion.

Last November, Solana broke above $260, and this value was the highest for the coin.

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In 2022, she suffered heavy losses. The strongest pullback occurred in May and June. At the beginning of the summer, SOL traded around $26.8. However, already in August, the altcoin was able to exceed $48, and in early September, a new collapse of the rate followed after the activation of sellers.

The RSI indicator signals that the asset is oversold, so there is a high probability of its imminent rebound, analysts predict.

Solana's immediate support zone has formed around $33.05, a correction below this level is unlikely in the current cycle. But a breakout will only be possible if SOL breaks the resistance at $36.5 and holds positions.