The cryptocurrency market witnessed a surge in volatility as Bitcoin projected a fake breakout from $100K. The sideways action has stalled recovery in most major altcoins but Solana’s price shows resilience with an opportunity for the next breakout. The bullish sentiment can be attributed to Donald Trump’s decision to appoint David O. Sacks- a known Solana supporter, as the White House crypto czar.
Currently, the SOL price trades at $236 with an intraday gain of 0.4%. According to Coingecko, the asset’s market cap stands at $113.5 Billion, while the 24-hour trading is at $11.2 Billion.
Key Highlights:
- Solana price reversal from 23.6% FIB level with a double bottom pattern sets a rally for the $300 level.
- The coin trading above 50% Fibonacci retracement level accentuates a healthy correction for buyers to regain bullish momentum.
- The $246 and $264 stand as immediate resistance for SOL buyers.
David O. Sacks’ Appointment Sparks Optimism for SOL
Donald Trump has announced plans to appoint David O. Sacks as the White House Director of Artificial Intelligence and Cryptocurrency. Sacks, a prominent figure in the tech and cryptocurrency sectors, will be tasked with developing a clear legal framework to facilitate the growth of the cryptocurrency industry in the United States.
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On the “All-In” podcast, Sacks revealed his investment in discounted SOL, highlighting its promise in the blockchain space. His belief in Solana’s capabilities adds a significant endorsement, given his stature as a prominent investor through Multicoin Capital.
The development could favor Solana and the whole web3 industry, as Sacks’s pro-crypto stance could create a more crypto-friendly regulatory environment.
David Sacks, Trump’s new crypto czar, is a Solana supporter and Multicoin Capital investor.
On the “All-In” podcast, he revealed holding discounted $SOL and sees Solana as a potential Ethereum rival.
His VC firm has backed dYdX & Lightning Labs. pic.twitter.com/GsJ6Y9Z8OI
— Satoshi Club (@esatoshiclub) December 6, 2024
Solana Price Poised for Major Reversal Amid Double Bottom Pattern
In the last two weeks, the Solana price recorded a notable pullback from $264 to $239, accounting for a 9.5% loss. This bearish reversal coinciding with the declining trend of trading accentuates weak sellers’s conviction and potential for a bullish reversal.
The asset recently rebounded from the 23.6% Fibonacci retracement level at $222, indicating a healthy retracement for buyers to replenish bullish momentum. At the 4-hour chart, the SOL price forms a double bottom pattern with a neckline resistance at $246.
The chart setup resembles the ‘W’ letter, suggesting an active demand pressure from the bottom. Thus, a potential breakout from $222 will accelerate the bullish momentum and bolster buyers to chase the $300 barrier.
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On the contrary, if sellers defend the $246 to $264 resistances, the Solana price could drive a prolonged sideways trend or lead to a pressure correction.
