Solana has raised hopes for an uptick as the bullpen continues

• SOL has gained 9.11% in the last month.
• Solana has flipped the 200 EMA on the daily and 4-hour timeframes, indicating a potential upside.

Solana reached a local high of $193 [SOL] Failed to maintain an upward momentum and recover highs. As such, the altcoin is stuck in a consolidation range between $140 and $160.

It shows that, since the dip below $160, the bears have outweighed the bulls to keep the price within this range.

In fact, at the time of writing, SOL was trading at $146. It marked 9.11% on the monthly chart, while the altcoin is recording moderate gains on the weekly and daily charts as well.

Despite recent gains, SOL remains 43.9% below the ATH of $259 recorded in 2021.

Although SOL has struggled to break above $160, recent price action has sparked optimism, leaving analysts talking. One of them is Coin Signals who have suggested a potential upside by citing the 200 EMA.

Solana flips 200 EMA

In their analysis, Coin Signal posited that SOL flipped the 200 EMA on the daily and 4-hour timeframes. This price movement means that the altcoin has exited the symmetrical triangle.

Source: X

This means that a breakout above the upper trendline signals the start of an uptrend. Therefore, the altcoin is well positioned to see further gains on the price chart.

What does SOL's chart suggest?

Solana's long/short ratio on the 4-hour time frame sits at 1.2 at press time, indicating that long position holders are taking over the market. Thus, more traders are betting that prices will rise rather than fall.

Source: Coyonglas

This claim for long positions was further supported by a positive DyDx exchange funding rate last week. This suggests that longs are paying a premium fee to shorts during market downturns to hold onto their positions.

Such market behavior indicates that investors are confident with the altcoin's future gains.

Source: Sandhi

Finally, Solana's open interest has been increasing on every exchange in the past week. Open interest increased to $712 million from $649 million.

This shows that investors were constantly opening new positions in anticipation of further gains.

Source: Sandhi

Read Solana [SOL] Price Forecast 2024-2025

Simply put, while SOL has struggled to recover levels above the $140 and $160 range, the altcoin market's positive sentiment is increasing.

As such, the current situation could set Solana up for further gains. Therefore, a breakout above the $160 resistance would see the altcoin hit $170.