Compass Investments

– Cryptocurrency Solana (SOL) has shown potential to regain the $200 resistance level, but one analyst is warning investors to be prepared for potential volatility.

crypto trading expert Alan Santana noted an alarming bearish signal for Solana in August 2024, suggesting that the price of the decentralized financial token (DeFi) could fall even further.

Mr. Santana noted that Solana’s recent price and volume trends are very similar to those seen in July 2023. Back then, Solana saw a significant bullish volume spike after more than 45 days of steady gains, with buyers pushing prices higher and triggering a strong rally.

By August 2024, the scenario had reversed. After 140 days of bearish activity, Solana shows a strong bearish volume spike, indicating a continuation of the downtrend. This pattern suggests that Solana may be heading towards the $90 support level based on historical trading data.

the next few days will be crucial in determining whether Solana stabilizes or falls further towards the $90 level.

Despite the bearish indicators, another analyst, Crypto Patel, believes that investors should prepare for a potential price breakout: in an Aug. 11 report, Patel said that Solana is showing strong bullish momentum, suggesting that it could rise to an all-time high of $500. He noted.