Main Takeaways:
- Solana Price broke through the falling wedge formation, climbing 50% from the $100 demand level.
- Above $20M in short positions were closed out as SOL surged beyond $152 with strength.
- The next resistance aims are $205, $263, and $296, per Lucky’s upward trend chart.
Analyst Spots Critical Falling Wedge Breakout
Crypto expert Lucky detected a falling wedge setup that had squeezed Solana’s price market movement since late 2024. This setup, commonly a sign of a bullish turnaround, surged above $100 and was followed by powerful price movement. In just a few days, the altcoin crossed $150, confirming the trend.
Lucky’s roadmap, released on April 23, set a short-term goal of $180 and predicted higher targets of $205, $263, and $296. The breakout was backed by a double-bottom pattern, with Solana closing above the $147 resistance. Now, this level serves as important support.
Short Squeeze Accelerates Solana’s Price Rise
In addition, a report from SolanaFloor disclosed above $20 million in short liquidations in the last 24 hours. As Solana prices surged to $152, these holdings were closed under pressure. That added purchasing pressure and ran the surge.
Importantly, liquidations reduce the number of over-leveraged traders who slow down price changes. This helped create a short squeeze, allowing SOL’s price to move closer to higher resistance levels more easily.
According to CoinMarketCap, at the reporting time, Solana’s price was trading at around $151.82, rising 8.6% in the last 24 hours. Trading volume and market volatility stayed high.
Meme Coin Rally Strengthens Bullish Outlook
Solana’s current rise has also been driven by a quick surge in meme coin valuations within its network. Solana meme coins have increased in worth by 23% in total market value in the past 24 hours, surging up to $8.7 billion.
BONK and WIF rose to prominence as the top tokens with their daily boost rates exceeding 20%.
Even though altcoins are going up in price, there are still legal problems. On April 21, a new complaint was filed against Meteora, a Solana-based decentralised exchange. The people suing claim that Meteora was running a pump-and-dump scam with the M3M3 token, cheating investors out of $69 million.
Even though M3M3’s price is 98% lower than its highest point, the legal attention it got made investors interested again in Solana’s other meme tokens.
On-Chain Data Confirms Strong Growth in Solana’s Ecosystem
Significantly, Solana’s price has observed a surge in on-chain activity. According to the DeFiLlama report, the overall value secured in the ecosystem has surged by $500 million in the last 48 hours. It has hit its two-month peak. At the same time, decentralised exchange volumes on Solana surged to $2.94 billion.
The growth on-chain happened along with more activity in meme tokens and greater use of DeFi. These trends show that investors are becoming more confident in using the Solana blockchain for assets and trading.
On the other hand, resistance zones at the reporting time were trading at $180, as pointed out by the double-bottom breakout projection. Additionally, the technical study of Lucky detected $205, $263, and $296 as the upcoming resistance zones.
Read also: Bitcoin ETF Experiences $3.06B Inflows After Weeks of Losses
Disclaimer: We at Bitcoinik.com present you with the latest information in the crypto market. However, this information should not be regarded as financial advice, and viewers should consult their financial advisors before investing.
