The alt formed a golden cross on its one-day chart, a signal that often hints a price surge.
This pattern last appeared in late October 2023, just before Solana kicked off a run from around $30 to its current price range.
Price movements
As of now, Solana has dipped by 0.5% in the past 24 hours, landing at $174.94 as the broader crypto market corrects by 2%. But don’t let that get you down!
Over the past week, SOL is still up by 1%, and it has gained an impressive 11% over the last month. If you look at the bigger picture, Solana has skyrocketed by 375% over the past year.
Much of this growth can be attributed to rising optimism surrounding next week’s U.S. election.
Many believe that if Trump wins, we could see a more crypto-friendly administration.
What’s this golden cross all about?
Now, back to that golden cross! This bullish indicator appeared on Solana’s one-day chart on Tuesday when its 50-day moving average crossed above the 200-day moving average.
This is pretty big thing because the last time this happened, SOL’s price jumped from about $30 to $121 by mid-December. In simple terms, a golden cross is usually a very positive sign and often marks the start of a bullish phase for an asset. Gains.
What’s even more exciting is that Solana’s RSI, which measures momentum, has climbed to nearly 70 after starting below 40 in early September. This suggests that SOL is gaining strength.
Additionally, the coin’s medium-term resistance and support levels are converging, hinting at a potential big movement ahead.
These technical indicators align with a broader bullish sentiment in the cryptocurrency market as investors anticipate a Trump victory in the upcoming election.
The Trump factor
With Trump positioning himself as the more pro-crypto candidate, many believe his win could lead to positive changes for the crypto industry.
Recent polls show that things are tightening up in favor of Trump, adding to this hopeful sentiment.
If Trump does win, it could pave the way for Solana ETFs, something some asset managers have been working on for months.
A new administration might bring changes to personnel at the SEC, which has been blocking Solana ETFs due to its classification of SOL as a security.
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