Solana’s SOL token has experienced a period of fluctuating prices, trading at $232.11 as of September 16, 12:30 UTC. This comes after a day marked by volatility, with the token testing both the $230 and $238 price points.
Prominent trader Altcoin Sherpa has expressed confidence in SOL and Binance Coin (BNB) over Ethereum (ETH), citing favorable funding flows and market structures oriented towards SOL. He suggests that while ETH has recently experienced gains, it may now enter a phase of consolidation. Sherpa highlights that major cryptocurrencies often move in tandem with Bitcoin (BTC). If BTC sees a downturn, other major coins like SOL, BNB, and ETH may also struggle to rise. However, a positive shift in Bitcoin’s price could lead SOL and BNB to outperform others.
From a technical standpoint, CoinDesk Research indicates that SOL traded within a tight $8 range between September 15 and 16, with a high of $238.09 and a low of $230.13. The most significant price drop occurred on September 15, where an $8 decline was accompanied by a spike in trading volume to 1.5 million units. Nevertheless, the price found a short-term support level around $233 to $234, suggesting a blend of both institutional and retail activity.
The final session during this period showed an improvement, with SOL breaking through a tight range to reach $236.90 on a surge of trading volume. Despite this, it met resistance between $237.50 and $238, indicating a stabilization in the market.
The 24-hour chart ending on September 16 shows a slight retreat for SOL, cementing the $232 to $234 range as a short-term support zone. Over the past month, SOL has trended upwards, though recent pullbacks reveal challenges in surpassing its current support level. The current state suggests a phase of consolidation, with SOL potentially building momentum for future growth.
The analysis underscores Solana’s stability after recent price fluctuations, with traders keeping a close eye on Bitcoin’s movements and macro developments for potential impacts on SOL’s trajectory. The market’s current positioning could signal either a consolidation phase or the build-up needed for a new upward drive.