With Bitcoin down for the last three days, Solana (SOL) is once again outperforming both $BTC and $ETH. Should the next upward stage of the bull market begin, $SOL is likely to continue to dominate the layer 1s.
A lot is going on right now as Bitcoin (BTC) attempts to get back on track. Movements in the US stock markets, Mt. Gox distributions, the FOMC meeting, and countless other sources of noise are each vying for supremacy.
However, if one shuts all this noise off, the Bitcoin chart looks great, and Solana arguably looks even better. All it will take, is for the $BTC price to head up and break its all-time high, and $SOL would be likely to drive up faster.
$SOL battles resistance
Source: TradingView
Against its US dollar pair, the $SOL price is battling to break the resistance at $185. Good support is below at $175. Once more positive sentiment comes into crypto, look for $SOL to break higher and head up to the last major resistance at around $200.
Has $SOL reached a top against $BTC?
Source: TradingView
Looking at the SOL/BTC pair, it can be noted from a macro perspective that the $SOL price is within a large range. Within this range, it can be seen that the 0.618 fibonacci is acting as excellent support.
The price is currently climbing inside an upward-sloping wedge, which is a bearish pattern. Also, the price has reached a resistance level. If the price breaks to the upside, this would be incredibly bullish, but if $SOL is rejected, a correction back to the midpoint of the range at 0.00245 sats could be likely.
Is SOL/ETH range about to be broken?
Source: TradingView
Against $ETH, $SOL is approaching the top of the range. A breakout past the midpoint of the range took place in mid-July, and now the price looks to be gathering itself for that last spurt to the range high at 0.059 ETH.
It is arguably at this particular level that the real battle will commence for $SOL against $ETH. If positive price action comes in for $ETH, especially from the Spot Ethereum ETFs, then $SOL may be rejected from the top of the range.
However, should the $SOL price break the range to the upside, expect it to make further inroads towards matching the market capitalization of $ETH, which is currently 4.7 times bigger than that of $SOL.
Disclaimer: This article is provided for informational purposes only. It is not offered or intended to be used as legal, tax, investment, financial, or other advice.
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