Altcoins plunged in the first quarter as most of them lost momentum and the crypto fear and greed index slumped. SOL price initially jumped to a high of $295 in January and then erased most of those gains to the current $126. This article explores whether you should sell popular Solana rivals like Polkadot (DOT), Binance Coin (BNB), and Tron (TRX).
SOL Price is at Risk of Falling to $100
Solana price is at an increased risk of falling to $100 in the coming weeks. The daily chart below shows that a bearish flag pattern has slowly formed. This is a popular continuation pattern made up of two key parts: a vertical line and a rectangle continuation sign. It often leads to a strong bearish breakout.
SOL price has formed a death cross pattern, and is now hovering above the key support at $120, where it has failed to move below since early last year. Therefore, these patterns point to a strong sell-off to the key support level at $100. A move above the upper side of the flag at $146 will invalidate the bearish outlook.
Polkadot (DOT)
Polkadot is one of the top Solana rivals to watch in April. Like SOL, it has crashed to a crucial support level at $3.6, where it has failed to move below in the past few years.
On the positive side, the coin has formed a falling edge pattern, and is slowly forming an inverse head and shoulders pattern. That is a sign that it may stage a strong comeback in the coming weeks. This means that it is not ideal to sell this SOL rival this month.
Binance Coin (BNB)
The BNB coin has done better than other Solana alternatives. It remains just about 20% below its all-time high. The main bullish case for the coin is that the developers are working on two separate upgrades that will boost its speeds.
Their goal is for the BSC chain to become the top alternative for Ethereum and Solana. Ethereum is known for its slow speeds, while the Solana ecosystem has become toxic because of its meme coins.
BNB price has also formed a cup and handle pattern, pointing to more gains later this year. As this CoinGape article noted, there are signs that the Binance Coin will jump to $1,000 later this year.
Tron (TRX)
Tron is one of the top Solana rivals to consider. The daily chart shows that the TRX price has been in a consolidation phase in the past few months. It is consolidating at the 50-day moving average.
On the positive side, the coin has formed a falling wedge pattern, with the two trendlines nearing their meeting point. That is a sign that it will have a strong bullish breakout in the coming weeks. Such a move would see it rise to $0.30, up by 30% above the current level. A drop below the lower side of the wedge will invalidate the bullish TRX price forecast.
Is it Safe to Sell These Solana Rivals?
Technicals suggest that these three SOL rivals have formed strong technicals. That is a sign that these tokens will bounce back even if the Solana drops and stalls at the key support at $100.
The post Should You Sell These Solana Rivals if SOL Price Stalls Around $100? appeared first on CoinGape.
