1. Solana experienced a 77% drop from $39 in early November to $8.62 in late December of 2022.
2. Technical analysis suggests that a breakout past $25.58 is likely and could lead to large gains.
3. The $24.34 level of support is a good risk-to-reward place to bid SOL at, with the 61.8% and 78.6% HTF resistance levels at $28.7 and $33.14.
Solana has had a rollercoaster of a ride in the past few months. In November and December of 2022, the price of SOL dropped a staggering 77%, going from $39 to $8.62. This was a large drawdown, and it seemed that Solana was in trouble.
However, in the last few weeks, Solana has seen a surprising comeback. Technical analysis suggests that this trend is likely to continue, with a breakout past $25.58 likely to lead to large gains. Fibonacci retracement levels have also indicated that a surge above $25.3 could be a sign of a move to $28.7 and higher.
Recent reports have highlighted a drop in important metrics alongside the prices in Q4 2022, but 2023 brought a shift with daily active addresses up by 47%. This suggests that the market is starting to turn around and could be a sign of a bull run.
As far as investments go, the $24.34 level of support is a good risk-to-reward place to bid SOL at. This is backed up by the 61.8% and 78.6% HTF resistance levels at $28.7 and $33.14, which could be used to take profits. Investors can also use the Solana Profit Calculator to check the status of their portfolios.
Overall, Solana may have had a rough few months, but it appears that the market is turning around and that there may be potential for large gains. Therefore, investors should keep an eye on the charts and be aware of the potential for a breakout past $25.58.