Solana Whales Buy Big: Bullish Breakout Looming for SOL Price?

Solana (SOL) is rebounding, backed by high whale movement and bullish technical indicators. From a low of $120, SOL has found support and is trading close to $132 with both technical indicators and whale activity being positive.

In the last 24 hours, the price has gone up by 4.58% which suggests that more investors are buying due to increased interest.

SOL Price Overview | Source: CoinMarketCap

However, Solana is dealing with retracement at major levels, especially at $137. The broader market is also recovering, with Bitcoin returning to $58,000, and Solana will be facing a major test at the $150 level. Whale buying activity is also an indicator of possible bullish momentum as the price tries to overcome crucial resistance levels.

Whales Accumulate Solana, Driving Up Bullish Sentiment

As the SOL price rises, whales are buying more Solana tokens, which is a good sign for the cryptocurrency.

Recently, a whale bought 34,807 SOL tokens worth $452 million and staked more than 115,000 SOL tokens, showing a long-term investment. This large accumulation is considered a bullish signal for the market, as the whales anticipate that the price will increase in the following weeks.

A whale bought 34,807 $SOL($4.52M) again 12 hours ago!

Since Feb 7, this whale has withdrawn 206,951 $SOL($29.3M) from #Binance and #MEXC at an average price of $142 and staked 115,135 $SOL($15.3M).https://t.co/rnrXRXmNkB pic.twitter.com/Ce6DqyVvvQ

— Lookonchain (@lookonchain) September 10, 2024

However, while this buying pressure is still very much present, some whales are unloading their coins. Another whale made a transaction of 20,000 SOL tokens which is equivalent to $2.66 million. Nevertheless, the majority of the major holders are still bullish, with more accumulation rather than selling in recent months.

These whale activities have offered significant support to Solana as it continues to be rejected at key resistance levels. The $120 support has remained resistant, and many are now eyeing the $150 level as the next potential focal point for the cryptocurrency.

Solana Faces Key Technical Challenges Amid Rising Momentum

Solana is not doing well technically, but there are some indications that it may see a breakout. The price is still unable to break through the 20-day Exponential Moving Average (EMA), resulting in some consolidation. However, on the 4-hour chart, there is a rounding bottom pattern which indicates that the market may overcome these barriers shortly.

Solana has retraced from the 23.60% Fibonacci level and is currently finding resistance near the 38.20% Fibonacci level at $141. A price breakout above this resistance level may result in a rally toward the $160 level if the current bulls’ charge is sustained.

Furthermore, Solana is currently trading within the confines of a falling wedge pattern, which is a bullish reversal pattern. If Solana manages to break out from this wedge, the price could go towards $160, given the extent of the move from the breakout point of the wedge. The MACD also indicates a potential bullish crossover which combined with the current price action supports the projection of price increase.

SOL Price to Reach $150? Key Levels to Watch

Solana is getting to a crucial point, and the $150 mark is the next critical level of resistance. The $137 level, which corresponds to the 2360% Fibonacci retracement, remains a major challenge to the cryptocurrency. A move above this level would pave the way for more gains towards $150 and above.

Solana Price SOL/USD 4Hour | Source: Trading View

If Solana can sustain its uptrend and go beyond the $138 ceiling, the price may rise to the $160 region, by the 61.8% Fibonacci retracement. The increasing whale activity and overall market recovery, as a result, indicate that Solana could be preparing to make a significant move upward.

Nevertheless, if the price fails to break through the $138 level, it may find support at $120. A break below this support could result in further selling pressure and push prices as low as $110. The price action in the following days will determine if Solana can continue with the bullish sentiment and move further upwards.

Source