The cryptocurrency market turned bullish during this week, after the flash crash that followed El Salvador’s Bitcoin adoption as legal tender on Tuesday. As a result, the absolute majority in the market crashed more than 30% lower in about an hour. The sentiment remains bearish in the market, except for certain cryptocurrencies such as Solana and Fantom, which have been absolutely surging during the last several weeks.

Solana Price Prediction – SOL/USD H4 Chart

Solana has taken market’s attention since the beginning of August, when it started the big surge higher. This cryptocurrency came into the spotlight earlier this year, when it surged from $2 in January to $58 by the middle of May, which means a 2,400% increase. Although, the whole crypto market was surging back then, so this strong bullish move was attributed to the crypto market sentiment.

SOL/USD pulled back to $20 after the crypto crash in May, where it formed a base that held for a few months, until it made a reversal when the bearish period in the crypto market finally ended. That’s the time when the next big bullish move started in Solana token, sending the price to $215, which means gaining more than 1,000% during this time.

Solana Live Chart

But, the market attention came after the middle of August and especially in September, since Solana picked up the bullish pace, while the broader crypto market slowed down and in some cases retraced lower. Even after the flash crash in the crypto market on Tuesday this week, after El Salvador introduced BITCOIN as a national currency, Solana picked itself up.

It lost around 35% of the value during that crash, but reversed quite fast and closed that day up. It printed a new record high at $215 on Thursday, while the rest of the market was stagnating or retreating, which meant that it resumed the bullish trend pretty fast, unlike the rest of the market.

Solana Price Prediction – SOL/USD Daily Chart

On the daily chart, the uptrend is more visible. Solana has been making massive gains, but it formed an upside-down hammer candlestick on Thursday. That’s a bearish reversing signal after the bullish trend and on Friday there was a bearish signal. But there was no follow thorugh, which shows that there is not much bearish momentum.

No selling momentum in Solana

Solana Trade Idea

In fact, Solana still remains on a bullish trend and we are preparing to open a buy SOL/USD signal. The 50 SMA (yellow) at $170 would be a great place to buy Solana against the USD, since this moving average held as support during that crash on Tuesday. But, buyers are still active, not letting the price slip lower to that moving average.

So, we’re following the price action and when the moving average catches up, we will try to go long here. I would place the stop loss target below Friday’s low at $130, which has turned into some sort of a line-in-the-sand for Solana. The take-profit target would be left open, since no one really knows where the end of this bullish run will be.