Solana Likely To Test The Low $100 Area - Great Long OpportunityDespite greatly outperforming most of the crypto market recently and getting a higher high, Solana obviously couldn't avoid the global selloff that has been happening across all markets for the past week. The sell pressure might force Solana to a lower low in the $100-110 region, maybe even wick below $100 as stop losses get hunted and people get liquidated.
There are several factors that make me believe this could be the bottom of the range we've been trading at for many months, and we'll be heading to new highs starting around September/October.
The low $100 area has previously shown to have high liquidity, and has a positive volume delta since the low of January, indicating there's more buying than selling interest at that price.
There's also the October anchored VWAP which has now reached $108. The upper 0.5 standard deviation band has acted as a support level for pretty much every dip so far this year, but we could see a test of the VWAP now that it has risen close to the local trading range.
The Fib extension using the pivot highs and low of the trading range gives us the 1 level at $107, aligning with the VWAP.
The ideal entry points which I'm looking for are $107.5, $102.5 and $97.5, as there's a high chance that there will be a lot of stops around these prices.
Also be aware that there might be a double bottom first before price goes up again, which is often the case for major trend reversals, and has been for Solana's previous 2 dips. These usually also have a bullish RSI divergence which is good to keep an eye out for.
Profit targets for this trade shorter term could be around like $180-$200, longer term would be at some future new ATHs, which might be around some of the Fib levels in the previous chart I published.
