A cryptocurrency analyst announced that he is seeing bullishness for Solana, one of the popular altcoin projects. According to the analyst, Solana price is recording an abnormal candlestick on a monthly basis. Alongside this, the SOL price saw an increase in volume. An invalidation of the downtrend could signal a break above $45. Solana price is urging investors to keep their eyes on the central smart contract token, as the SOL price is notorious for giving mixed signals before significant market turns.
Analyst: Solana price has smart money effects
According to analyst Tony M., the price of altcoin Solana may be trying to fool traders once again. On June 30, 2022, the central Ethereum killer recorded a suspicious monthly candle. SOL price is about 30 percent above the low marked $25.86. However, it fell 27 percent below the June high of $46.12 to settle at $33.76. Therefore, the bearish candle is showing subtle signs of a bullish effect. The candle also offers a stream of trades on the volume profile indicator. This anomaly provokes the idea that something important will happen to Solana price in the coming months.
As we have also reported as Kriptokoin.com, the Solana price had previously deceived its investors with its rise in September 2021. A large volume bullish candlestick was recorded. However, the settlement price of $141 is marked 34 percent below the monthly high of $216 and just 30 percent above the monthly low of $105.89. Four months later, in January 2022, after minimal gains and price action, Solana price finally saw the repercussions of the abnormal monthly candlestick. The bears have eroded all profits since September 2021, stretching a 60 percent liquidation to $80, according to the analyst.
Smart money can change market sentiment
There’s no doubt that smart money likes to work on big time frames. Being able to look for subtle clues in monthly and yearly charts can provide context for when a market’s behavior may change. When it comes to Solana price, traders should not be overconfident. We are still in a bear market as long as Bitcoin does not exceed $ 23,500. However, things can change quickly, so it’s best to watch out for any anomalous clues that some of the more popular cryptocurrencies may offer in the coming weeks.
An invalidation of the bearish trend in Solana price could occur with a break above $45. If the bulls can break through this limit, it could cause a rally towards $90, resulting in a 150% increase from the current Solana price. On the contrary, if the bulls fail to support the $35 barrier soon, SOL price could continue to decline towards $20. This can result in an additional 40% loss.
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