The question of whether Solana coin has come to its future is starting to occupy the agenda. Currently, it is stated that a TD Sequential selling signal has formed on the weekly chart. Due to the formation of this signal, an analyst thinks that the price of Solana will decline. According to the analyst, the price will drop to the $30 level.
Is Solana Coin Coming to Its Future?
TD Sequential indicator, which is an important metric in technical analysis, is used to determine possible bottom or top points in the price of any asset or commodity. This metric has two stages. In the setup stage, candles with the same popularity are counted up to nine. After the ninth candle, the metric indicates that a possible reversal is currently taking place in the price. Since such a situation indicates a top point in the uptrend, it indicates that it is time to exit the asset.
On the other hand, in the opposite case, the candles will indicate a shift from a downward trend to an upward trend, thus indicating that the selling is over and it is time to buy. As explained in a new post by analyst Ali, the 7-day chart for Solana recently completed such a setup stage of the Tom Demark Sequential metric. Therefore, this situation indicates that the winds can change for the cryptocurrency. The chart shared by the analyst gives an idea about the future of Solana coin and shows this formed signal.
Profit-Taking Warning for Solana Coin
Looking at the above chart, since the TD Sequential setup stage is formed with green candles, this indicates a selling signal for SOL. Ali Martinez points out that a profit-taking may be possible in the coming days due to this situation. As mentioned before, this stage also has a countdown stage. This second stage lasts for 13 candles and starts immediately after the setup is completed.
When these 13 candles are completed, it indicates that the end of the downtrend of the asset is approaching. In this case, the analyst states that the price for SOL will first pull towards $45 and then drop to $30. Ultimately, the analyst points out a 47% drop. The answer to the question of whether Solana coin has come to its future remains uncertain for now. However, the fact that the price of SOL has reached $68 level has brought a 100% increase since last month, demonstrating how strong the upward momentum is. As of writing this article, Solana is trading at $55.87.
