Against all odds, SOL has the potential for another leg higher

From the mechanic’s perspective, SOL also looks good. 

The Open Interest has reset significantly from its highs a few weeks ago while Funding also remains healthy. 

Technical analysis

• The Purple box is still providing to be a sticky area for price to get above convincingly, price has not been able to hold above this level.
• Price is entering into a squeeze between the downtrend line (red line) and the uptrend line (yellow line). As price squeezes into the pinpoint, it may see a volatile break.
• If $104 can be cleared to the upside, then this opens the door for SOL to move back to $117.
• If SOL breaks down the downtrend line, then $77 to $81 can be tested.

Cryptonary's take

Even though we are not massively confident of a major upside here, we think there is enough for prices to go higher. Our analyst, who sold half their SOL holdings, has now re-bought the SOL they sold at $99 at $95. When unsure about the market and liquidity is good with catalysts also on the horizon, it's better to be in the market than out. 

However, it is important to see how the market opens tomorrow, with Greyscale potentially continuing to sell large amounts of BTC. 

Let's see what we get.