More traders are now betting on the further rise in Solana’s price after its recent uptrend.
- SOL has been trading at around $115 for the first time since 2022.
- Short position liquidations were over $14 million.
Solana recently experienced a notable shift in its price trend, surpassing previous patterns and reaching a yearly high. Is this the beginning of a sustained uptrend or just a fleeting surge?
Solana marches into the $100 price zone
AMBCrypto’s analysis of Solana’s daily price trend showed a consistent uptrend over the past five days. The chart peaked in the $100 price range on the 23rd of December, with no signs of stopping at the time of the report.
According to the price range tool, from the uptrend on the 20th of December to press time, SOL has experienced a growth of about 65%. At the time of writing, SOL was trading at around $115, reflecting an increase of over 7%.
This marked the first time since 2022 that SOL has reached such a price level. The strength of its bullish trend is further shown by its Relative Strength Index (RSI), which was above 80 at press time.
This implied a bullish trend and positioned SOL in the oversold zone.
Solana tips the market cap scale
An examination of the volume chart on Santiment showed a notable rise in Solana’s trading volume over the past few days as well. Initially surpassing $5 billion, the volume experienced a brief dip below this threshold but has rebounded since.
The volume rose to around $4.9 billion by the close of trade on the 23rd of December, and had crossed $5.1 billion at the time of writing.
Also, data from CoinMarketCap showed an 18% increase in volume over the last 24 hours. Furthermore, with the press time price, Solana’s market capitalization had reached over $48.7 billion, securing its position as the fourth-largest asset.
Additionally, in a remarkable year-to-date performance, the price of Solana has surged by over 800%.
Short-position liquidations swell
Despite indications of an imminent shift in the price range, some traders opted for short positions against Solana. However, data from Coinglass revealed that these short positions incurred significant losses during the recent price surge.
AMBCrypto’s analysis indicated that short liquidations had reached approximately $14.3 million on the 23rd of December, significantly outweighing long liquidations, which stood at around $3.7 million.
This marks the highest short liquidation observed in over three months.
Read Solana’s [SOL] Price Prediction 2023-24
In addition, the Funding Rate grew more positive, weighing in at 0.04% at press time. This suggested a growing trend where more traders were betting on another uptrend in Solana’s price.
The recent dynamics underscored the challenges faced by those anticipating a price decrease, as evidenced by the substantial losses incurred in short positions.
