Solana Reclaims $100; SOL Eyes 25% Surge

Solana (SOL) has rallied over 5.5% in recent days to trade hands at $100. The token is once again reclaiming the psychologically notable $100 mark. The move comes amid swelling optimism that SOL’s improving technical alignment could foreshadow more sizable gains ahead. But just how ambitious could Solana’s next bull run prove?

SOL appears to be capitalizing on broad-based altcoin strength so far in 2024, on the heels of Bitcoin and Ethereum carving out gains from overall crypto market lows. In SOL’s case, analysts at market analysis platform TradingView spotlight a textbook morning star pattern taking shape near support levels that typically form bullish trend reversals.

Also read: Cryptocurrency: 3 Altcoins That Could Outshine Bitcoin in February

Moreover, SOL has already broken above short-term descending trendline resistance, setting the stage for a retest of that breakout level to confirm it as new support. With SOL reclaiming $100 here looking increasingly likely in the near term, analysts debate whether considerably more upside could materialize.

Could SOL hit $125?

Some researchers eye SOL revisiting formidable resistance around $125 if the quantified momentum definitively shifts in buyers’ favor through February alongside the broader risk-on revival across digital assets.

However, more ambitious analysts refuse to rule out an assault on SOL’s record close to $260 or even $1000 based on past parabolic performances.

Of course, history also warns of SOL’s penchant for volatility and that gravity-defying triple- or quadruple-digit percentage rallies cannot sustain themselves indefinitely.

Also read: Chainlink Eyes Potential Breakout, LINK Could Hit $20

If bulls lose control, SOL always courts the risk of sharp rejections, especially if the $80 support cracks. From there, losses could snowball towards the low $50s. This is a traumatic bear market zone that previously spurred capitulation during the most painful SOL drawdowns.

Yet for now, positive momentum has traders focusing on additional upside potential rather than downside risks. If SOL maintains recently recaptured ground above its 50-day moving average and establishes a higher price base through February, analysts may warm up to forecasts calling for a rerun towards record heights at some point this cycle.