Renowned cryptocurrency analyst Omkar Godbolev said that there is a “bullish regression” pattern on the price chart of Solana (SOL).
In a recent analysis, Godbolev noted that the price of SOL has risen by over 7% this week to $193, rebounding from a key trendline support level.
According to the analyst, the trendline in question connects the highs of March and July to the lows of April and August, creating a descending channel that encompasses SOL’s long-term swings from March to October. Earlier this month, SOL broke out of this channel, confirming its bullish trend. Solana quickly rose above $260 before pulling back to the breakout, creating what technical analysts call a “bullish regression pattern.”
For SOL, the rebound from the breakout level reaffirmed support and signaled renewed bullish momentum. If this trend continues, traders who took early profits could re-enter the market, further fueling the upward momentum, he said.
While the bullish regression pattern is promising, analysts warn that the pattern’s success depends on SOL maintaining support at the breakout level. Failure to do so could invalidate the pattern and send prices back into the descending channel.
*This is not investment advice.
