Published
5 months ago on
November 28, 2023
Table of Contents
After these last few days of red candles altcoins could be ready to start coming back to life. The Solana ecosystem has some prime candidates to take the lead.
$SOL back from the dead
Solana (SOL) produced a stellar comeback from the depths of despair late in 2022. A low of $8 late in that December had many calling for failure of the $SOL token and also of the network as a whole.
However, that did turn out to be the bottom, and $SOL meandered sideways all year until it really started getting going at the end of September.
Source: Trading View
Since that time, a fairly spectacular change in fortunes has ensued. $SOL soared 260% over the next couple of months and hit a local high of $68 on 16 November. A retrace back to $51 occurred twice, forming a double bottom, and now it looks as though $SOL could be one of the first altcoins to release itself from the bear shackles of the last few days.
The price looks to have formed a higher low, coming down to bottom in the golden pocket of between the 0.618 and the 0.786 fibonacci levels.
The oracle of oracles
Pyth Network (PYTH) is the oracle built on the Solana blockchain, but that has 380+ data feeds across 40+ blockchains (compared to Chainlink’s (LINK) which is only available across 5 blockchains).
Source: Trading View
$PYTH has taken a good, healthy 30% reverse from its local high at $0.55. This took it back to perfectly touch the 0.618 fib at $0.38, and the price is currently attempting the breakout of a bull flag.
The target for the flag is near the price where PYTH was launched on exchanges at $0.65. With the fundamentals that it possesses, it certainly wouldn’t be surprising to see $PYTH reach this height and go beyond.
Meme coin wars
$BONK is probably the Solana equivalent meme coin for Ethereum’s $PEPE. However, being the new kid on the meme block it may have the advantage of the hype that this entails.
Source: Trading View
As can be seen on the chart, $BONK has broken out on the hourly time frame. However, it should be borne in mind that $BONK has already put on more than 3000% since 20 October.
Meme coins are chips at the casino table when all is said and done, and traders should be very aware of this. Risk management that includes stop losses should be applied, and trade with the utmost caution.
Disclaimer: This article is provided for informational purposes only. It is not offered or intended to be used as legal, tax, investment, financial, or other advice.
