Solana Analysis: SOL Fails to Break $34 as Traders Remain Optimistic

Solana traders are optimistic that the asset will return to three digits before the year runs out. Most of them base this assumption on the fact that the altcoin’s performance surpasses that of Bitcoin in 2023. Following BTC’s most recent pump, SOL is expected to do more.

One such trader, Gumshoe, took to X to express their conviction in such an outcome. They highlighted that the cryptocurrency under consideration is currently at a pivotal resistance level and this is where the “haters” lurk. Nonetheless, they added that above $40 is imminent.

On the other hand, the small losses most coins and tokens experienced in the last 24 hours failed to impact the general sentiment of the crypto market. According to the Fear and Greed Index, the sector is seeing more optimism from its players. The metric is currently at 72 which indicates greed and more actors aiming for more. This could also be a sign of an impending downtrend.

Solana Failed to Break $34

Since July, Solana (SOL) made several attempts at gaining more stability above $30. The first major break saw the coin shot past the said mark and tested $32 before correction. Afterward, over the course of several weeks, it dropped below $18.

As with the previous trial, solana is yet to gain significant stability as price fluctuation continues. Nonetheless, the altcoin broke the $32 resistance more than once in the last five days but is struggling to flip $34 despite traders’ optimism.

A clear trait during this period is Solana hitting a higher than its previous day. For example, on Tuesday, it dropped to a low of $29. The next day, it dropped to a low of $30 and $30.7 during the current intraday session. While this may feel insignificant, it is important to note that this trend is closely associated to with an impending downtrend.

One such event happened in August. The result was a massive correction that saw SOL dip from $25 to $17. The same may take place in the coming days.