SOL targeting $205 breakout soon

Disclaimer: This is not financial or investment advice. You are responsible for any capital-related decisions you make, and only you are accountable for the results.

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• SOL's Open Interest (by number of coins) has spiked to a new yearly high following the Trump win.
• Funding Rate-wise, SOLs are similar to ETHs. 0.01% on major, more liquid exchanges, but
• Funding has moved more meaningfully positively on the less liquid exchanges. This can go further, but it'll likely need a small flush out at some point. But this wouldn't worry us in terms of a meaningful price drawdown. We'll hold through any volatility.

SOL's open interest:

Technical analysis

• Following the breakdown of the local uptrend line, SOL found some support just below the local support of $162, and it was able to put in a much stronger bounce following the Trump win.
• We identified previously that the $180 to $190 area is likely to act as a resistance box for price in the short-term. That's now what we're seeing, but, we emphasise, in the very short-term.
• It's possible that the price will now pull back a tad and use the $180 level as new support.
• A clean breakout above $205, and SOL will just send. That's the key level to watch.
• Another positive is that SOL has also reclaimed the local uptrend.
• Like ETH, SOL's RSI is approaching overbought territory, but it isn't there yet. More room to head higher for price here.

• Next Support: $180
• Next Resistance: $190
• Direction: Neutral/Bullish
• Upside Target: $190 (to $205 upon breakout)
• Downside Target: $180

Cryptonary's take

It's possible that price remains in a tight range for a few days (between $180 and $190). However, we're expecting price to breakout in the coming 12 weeks and to test the $200 level. Whilst we're not sure we'll get an immediate breakout above $200, we do believe it's eventually inevitable.

We remain super constructive and bullish on the market here, with SOL being one of our core positions.