The cryptocurrency market witnessed an exciting day today, as most tokens, including the SOL token, attempted recovery. According to the market stats, the Solana price surged 4% today. Investors are closely monitoring this digital asset and the rest of the altcoins as Bitcoin struggles. But why did the price jump suddenly? Let’s discuss.
Why Solana Price Surged 4% Today?
At press time, Solana price was $179.70, after a 4% surge in the last 24 hours. After a major crash to $161.54, a three-month low, investors have been awaiting this surge. Interestingly, this happened as investor sentiments settled on the LIBRA meme coin scam.
Moreover, this is part of the global market recovery, where the price of Bitcoin surged to $97.8k, the price of BNB surged to $667.10, and more. The 10% surge in SOL token’s trading volume indicates that institutional interest is also increasing.
More importantly, recent on-chain data reveals a surge in whale transactions. One Solana whale withdrew 174,767 SOL, worth $29.88M, and staked it. Such withdrawals influence the sentiments of other investors.
Another important aspect to consider is its growing demand. Just recently, the popular crypto exchange Coinbase listed Solana futures on its crypto derivatives product. This will significantly increase exposure to the SOL token and increase its institutional adoption.
What’s Next For SOL Token: Solana Price Rally or Crash?
The SOL daily chart shows that it has declined from the $260 supply zone. As a result, it is facing a 44% correction, showcasing the bearish pressure on Solana. More importantly, the long downtrend stresses the investors losing interest.
Interestingly, $168 is the key level to watch, as it could lead to an uptrend or downtrend. A successful bounce from this level has resulted in the 4% surge today, and the continuity could result in a retest to the $190 as part of the mean reversion play.
If the SOL price reclaims the $190 market, it could achieve a $200-$210 range. However, if it fails to hold the $168, it may pull back to $155 before declining to $140. However, this Solana prediction may change significantly amid the volatile market despite the recent bullish influx.
Investors must watch the $168 level and DYOR before jumping into a trade.
Final Thoughts
The SOL token’s 4% surge is a great example of its strong resilience and demand in the crypto market. A further uptrend may form as the institutional interest rises and the Solana ETF discussion continues. However, it is more critical for the Solana price to stay above the key level of $168.
A successful jump from here could ensure a rally to $190, $200, or even $210. Failure could result in a crash to $155 and even $140 if the downtrend continues. Investors must DYOR and trade strategically.
The post Solana Price Today: Why Is SOL Token Up 4%? appeared first on CoinGape.
