Solana (SOL) appears to be imitating Ether’s footsteps from 4 years ago, suggesting that the altcoin could be preparing to kickstart a long-term bull rally.
The cryptocurrency market currently has key players detailing their position on the Bitcoin market and a handful of other altcoins. While Bitcoin proponents anticipate much-needed stability in the asset’s price, altcoin supporters are looking for a bullish takeover.
Notably, many leading altcoins are attempting to make an upward correction after last weekend’s volatility. As a result, analysts are making some noteworthy observations. Pseudonymous trader Jelle is one such analyst who is spotlighting a bullish pattern that seems to be unfolding with SOL.
Per his observations, SOL, the 5th largest altcoin by market cap, mirrored Ether’s movement in 2020. It bears mentioning that ETH saw its price soar by 900% as prices moved from $350 to $3,500 in a few months.
$SOL is acting very similarly to $ETH in 2020, just before it went from $350 to $3,500 in a matter of months
Will it play out the same? pic.twitter.com/UBiwcfRAyS
— Jelle (@CryptoJelleNL) February 5, 2024
If SOL mimics the same pattern, a 900% upsurge will take the asset from its current price to $940. This will not only replace SOL’s previous all-time high of $260.06, but it could also trigger SOL to dethrone other notable rival altcoins.
SOL trades in the green zone at report time, like many other altcoins. The asset is particularly facing pressure from the bulls after news broke that Solana had shut down temporarily and halted transaction processing. While market cap value tumbled, trading volume is up by 6%, and SOL is currently trading at $101.
The technical charts reveal that SOL has broken out from a descending Patel channel. Although this is bullish, the asset has yet to cross the horizontal resistance successfully.
With top indicators depicting mixed signals, it is uncertain where SOL is heading in the near term. However, a breakout above $120 could be attained if buying pressure maintains an upward motion in the coming days.
Dan Gambardello, another renowned analyst, is just as bullish on the altcoin. Sharing his bullish perspective with his followers on X, Gambardello hints at a potential bull run from which he hopes to benefit.
“I have zero negativity against Solana. I’m always rooting for SOL holders, and I’m sure I’ll be hopping into some plays over there during the bull run.” He wrote, adding that some notable products are currently being built on the Solana network.” He wrote.
