Solana consolidates near resistance with rising leverage

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 has increased to new local highs as the Funding Rate returns to more positive territory.
• This suggests that most of the leverage built up is now Longs.

SOL's open interest (by USD value):

Technical analysis

• SOL has since consolidated between $162 and $180, following the breakout from its bull flag.
• Price is currently supported by the main uptrend line and the horizontal support at
• $162.
• To the upside, the resistances are at $184 and $203 ($200 psychological level).
• A breakout above $184 (that stabilises and closes above $184) would likely see the price retest $200. This would be a clean 10% move higher.
• The RSI has pulled back from overbought territory, although it is below its moving average, which is currently acting as a resistance.
• If price closes a new local high (higher than the May 14th high), the RSI will form a bearish divergence (higher high in price and a lower high on the oscillator). For now, this isn't a concern, although it's something we're closely watching.

Cryptonary's take

It looks doable for SOL to break out to $200 in the short term, however, we would expect that to be a key testing area where we would then expect price to pull back from. But, if price loses its uptrend line, we expect price to decline to $148, although this area would likely see dip buyers step in.

We would also look to take advantage of a pullback like that and buy SOL at $148 should it pull back to there. We expect it ca,n it just might take more time with further upside beforehand (in the short-term).

• Next Support: $162
• Next Resistance: $184
• Direction: Bullish
• Upside Target: $200
• Downside Target: $148