Solana price staged a strong bull run this week, reaching a high of $157, its highest level since June 30, and 25% above its June lows. It has formed key bullish patterns, and technical indicators point to further gains. This article explores whether SOL can hit $200 this week.
Solana Price Technicals Signal More Gains Ahead
The daily chart displays several bullish technical indicators that could trigger further gains in the coming days. First, the coin has moved above the 50-day and 200-day exponential moving averages. Crossing these two lines is one of the most bullish patterns in technical analysis.
Second, the SOL price has moved above the upper side of the descending channel, which was part of the bullish flag pattern. A flag is one of the most common bullish chart patterns in technical analysis. In this case, the flagpole has a height of $90. Adding $90 to the upper side of the flag yields a target price of $276.
Third, Solana price has formed an inverse head-and-shoulders pattern, another highly bullish sign. Therefore, the most likely outlook is for the coin to jump to the next key resistance level at $186, the highest level reached in May, which is approximately 20% above the current level.
On the flip side, a drop below the right shoulder at $143 will invalidate the bullish Solana forecast.
Solana price chart | Source: TradingView
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SOL has Key Catalysts that Will Push it Higher
Solana has numerous catalysts that will drive it higher in the coming weeks. First, the network continues growing, thanks to its superior speeds and low transaction costs.
For example, Bullish, the Peter Thiel-backed exchange, is migrating its core infrastructure to the network for custody, payments, trading, and settlement.
Second, Solana is playing a crucial role in the stablecoin industry, where its supply has surged to over $10 billion. The number of stablecoin transactions in the network increased by 28% over the last 30 days to exceed 191 million. Its adjusted transaction volume soared by 37% to $100 billion.
Solana’s role in the stablecoin industry is expected to continue growing after Fiserv, a company worth over $95 billion, announced its entry into the industry using Solana’s infrastructure.
Third, the next crypto bull run will likely push many meme coins, such as Fartcoin and Dogwifhat, higher. This, in turn, will lead to higher DEX volume and traction in the network. Data shows that Solana’s DEX volume jumped to $2 billion in the last 24 hours and $61 billion in the last 30 days.
Furthermore, Solana’s futures open interest has continued to grow, a sign that demand among institutional investors remains steady.
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