Solana has shown a potential rupture of a symmetrical triangle. Here is where the next price objective could lie, according to an analyst.
Solana increased above the symmetrical resistance of the triangle
In a new job On X, analyst Ali Martinez explained how Solana has just broken a resistance line. The level in question is part of a Symmetrical trianglea reason for Technical analysis (TA).
This model belongs to the class of triangles, formations which involve active trading in the two convergent trend lines. The upper line acts as a source of resistance, while the weakest as support.
An interruption of one of these levels implies a continuation of the trend in this direction. A wave above the triangle is a bull sign and a drop under it. Since the price fork becomes narrower while it moves in a triangle, an escape can become more likely when approaching the apex.
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Generally, triangle eruptions are considered to be the same length as the height of the formation (i.e. the distance between the lines of trends upper and lower than their widest).
There are three popular types of triangle: ascendant, descending and symmetrical. The first and second variants have a line of trend parallel to the temporal axis. In the case of the ascending type, it is the upper level. This means that when Solana moves inside an ascending triangle, its range shrinks towards a net.
Likewise, the descending triangle involves the opposite configuration, the support line being in parallel with the time axis. The third type, the symmetrical triangle, is the medium between the two: it has the two lines of trend approaching the other to a slope almost equal and opposite.
In other words, the symmetrical triangle represents a period of consolidation where the range shrinks from the real lateral mode. For this reason, a break is more or less likely to occur in both directions. On the other hand, there is a bias associated with the upward and descending triangles.
Now here is the graphic shared by Martinez which shows the symmetrical triangle that Solana was exchanging inside earlier:
As it is visible in the graph above, Solana’s price approached at the end of the triangle and as the probability would dictate, an escape became probable. The assets ended up finding a break and it seems to have been in the higher direction.
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So what could be the next for floor? According to the analyst, the asset could target $ 164. This level corresponds to the Fibonacci 1.272 extension line. Fibonacci extension levels are defined according to the reports found in the popular Fibonacci series.
The level of 1.272, in particular, corresponds to the square root of 1.618, which is the famous “golden report”.
Soil price
At the time of writing the editorial staff, Solana floats around $ 158, up 3% in the last 24 hours.
Dall-e star image, tradingView.com graphics