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Solana (SOL), which is currently the fifth largest cryptocurrency by market cap, is mirroring Bitcoin (BTC)’s recent recovery pattern, showing a positive trajectory over the past two weeks.
The latest price surge on Friday comes on the heels of positive macroeconomic developments from the US Federal Reserve, which had a positive impact on the broader cryptocurrency market.
Weekly rise of 7% amid economic news
In the last 24 hours, SOL has gained around 4%, showing a 7% rise over the past week. This rebound comes after SOL dropped to $110 on August 5, which was marked by general market turmoil caused by Negative economic news Risk-influencing assets.
In contrast to the negative economic backdrop we have seen in the past, the recent scenario has turned for the better after the noteworthy statement made by Federal Reserve Chairman Jerome Powell.
in letter Earlier in the day, Powell hinted at the possibility of the central bank cutting interest rates in September. While details on the size of the move were not explicitly disclosed, Powell stressed the Fed’s readiness to adjust policies to protect the labor market from further deterioration and ensure a smooth economic transition.
“It is time to adjust policy,” Powell said at his annual conference in Jackson Hole, Wyoming. He stressed the clarity of direction for policy adjustments, highlighting that the timing and extent of rate cuts would depend on incoming data, evolving economic forecasts, and risk assessments.
Solana Price Forecast
The market response to Powell’s comments was palpable, with Bitcoin Ethereum (ETH) was trading at $63,000 at the time of writing. Additionally, ETH was up 4.4% to $2,730, a level not seen since late July.
Additionally, there is a recent note from cryptocurrency analyst Ali Martinez: Suggests Solana is likely to form an Adam and Eve pattern, indicating a potential rally towards $164 if Solana manages to break through this resistance level.
In case of a successful breakout, there could be a massive 33% rally towards $220 on the horizon. If this prediction comes true, SOL price will drop to just below its previous price. All time high The stock hit a high of $259 during the 2021 bull run, which peaked in November of that year.
This expected rise would put SOL price well above its yearly high of $210, which was reached five months ago. However, in the near term, SOL price must first overcome the $151 level. resistance The wall that has prevented the symbol from moving up since August 11.
If the price breaks this level, it will put the token in a good position to retest and consolidate above the next major resistance at the $161 area.
Featured image by DALL-E, chart by TradingView.com
