One larger crypto that is looking especially promising is Solana and we’ll now proceed to see why on its charts.
Starting with a shorter-term 3-month chart we can see that Solana has already broken out of a fine if rather skewed Cup & Handle base, whose Cup included a Double Bottom at its lows, albeit that the 2 lows were not at the same level. The good news for buyers here is that, instead of racing away after breaking out from the rather long droopy Handle of the pattern, it instead has consolidated in a tight bull Flag in the vicinity of its now rising 50-day moving average and as this Flag has been building out for about 2 weeks now, it looks set to break out of it to the upside soon. Technically, a reason for it tarrying here is that it has been marking time waiting for the falling 200-day moving average to close the gap more with the price.
The long-term chart going back to the time of inception gives us Big Picture perspective. On it we see that after a heavy drop back from the vicinity of its highs back to quite strong support, the decline has decelerated with the setup now being conducive to a major new uptrend starting, especially given the increasingly positive look of sector leader Bitcoin’s charts.
Solana crypto is therefore rated an immediate strong buy. The point to dump it if the trade doesn’t work out as expected would be if it closes below $70.
Solana website
Solana crypto, SOL, trading at $75.28 at 9.10 am EDT on 17th August 26.
Important note: the ticker SOL is associated with “Emeren Group” at some brokers. If as a buyer you encounter this problem, you can instead buy the Solana ETF, code SOLZ, which moves faithfully with the underlying Solana and has good liquidity. It closed today 17th at $7.57.
Posted at 9.15 am EDT on 17th August 26.