As the cryptocurrency market continues to evolve, one of the notable players is Solana (SOL), which appears poised for significant price gains in April. With technical indicators suggesting a bullish reversal, SOL may see a potential increase of 65% in the coming month.
Technicals Indicate a Promising Breakout
As of March 26, SOL’s price has entered the breakout phase of a falling wedge pattern, a classic bullish indicator. This pattern occurs when the price consolidates within a range defined by two converging descending trendlines. The bullish confirmation comes when the price breaks above the upper trendline.
On March 19, Solana broke above this upper trendline, indicating strong bullish momentum that has continued in the days following the breakout. Currently, the SOL/USD pair is targeting $235, a projection made by adding the maximum height of the wedge to the breakout level, expected to be reached by April.
SOL/USD daily price chart. Source: TradingView
The bullish breakout is further supported by improving momentum indicators, with Solana’s relative strength index (RSI) rising above the neutral 50 level, hinting at increasing buying pressure. A move above the 50-day exponential moving average (EMA) at $154 could solidify this bullish narrative. However, a retreat from this resistance could jeopardize the ongoing bullish trend.
Revitalization of the Memecoin Sector
In addition to technical factors, on-chain activity reveals a resurgence in memecoin enthusiasm associated with Solana. Over 8 million tokens launched on the Solana network, with a remarkable rebound in daily deployments recently.
The memecoin launchpad Pump.fun has witnessed the deployment of over 34,000 projects as of March 24, a marked increase from around 20,190 at the start of the month—an encouraging sign following a month of diminished activity.
Total projects deployed via Pump.Fun. Source: Dune Analytics
This resurgence mirrors trends observed in December 2024, when a similar increase in activity foreshadowed a SOL price rally. Intriguingly, in the previous instance, Solana’s price climbed more than 68% following a recovery in Pump.fun activity.
Moreover, the recent performance of key memecoins, such as Official Trump (TRUMP) and Bonk (BONK), further points to renewed interest, contributing to the overall bullish sentiment within the Solana ecosystem.
Top Solana memecoins and their performances as of March 26. Source: CoinGecko
Recent mentions of the TRUMP memecoin by former President Donald Trump on social media have sparked additional buzz and interest in the sector. Combined with the launch of Pump.fun’s decentralized exchange (DEX), which has already exceeded $1 billion in trading volume, it is evident that Solana is experiencing a wave of fresh momentum.
Disclaimer: This article does not constitute investment advice or recommendations. All trading and investment activities involve risk, and readers should conduct their own research before making any financial decisions.
