Technical analysis by Kamrani_fxc about Symbol SOL: Buy recommendation (5/12/2025)

As of May 12, 2025, Solana (SOL) is trading at approximately $175.78, reflecting a 1.86% increase over the previous close. This analysis evaluates the SOL/USDT pair based on integrating market structure, macro conditions, volume dynamics, momentum indicators, and sentiment overlays.changelly.com🔍 Market Structure & Technical OverviewPrice Action: SOL has recently surpassed key resistance levels, notably breaking above $164.60 and approaching the $180 mark. This upward movement suggests a bullish market structure. BinanceMoving Averages:7-day MA: $176.6825-day MA: $174.0999-day MA: $170.93The alignment of these moving averages, with shorter-term MAs above longer-term ones, confirms a strong bullish trend. BinanceVolume Profile: Recent trading volumes have been substantial, indicating strong market participation. Key Levels:Resistance: $180, $188, $205Support: $162.70 (7-day MA), $157.03 (25-day MA), $149.10🌐 Macro Conditions & SentimentMarket Sentiment: The Fear & Greed Index stands at 70, indicating a 'Greed' sentiment among investors. On-Chain Activity: Solana's network has seen a 22% increase in unique wallet interactions, suggesting growing user engagement. Blockchain NewsDeFi Ecosystem: Solana's Total Value Locked (TVL) has surged to $10.51 billion, reflecting increased adoption in decentralized finance applications. 📈 Momentum IndicatorsRelative Strength Index (RSI): The RSI is approaching overbought territory, currently around 68, which may signal a potential for short-term consolidation. MACD: The MACD indicator shows a bullish crossover, supporting the continuation of the upward trend.📊 Trading AlignmentMarket Structure Break (MSB): Confirmed with the recent breakout above $164.60.Anchored VWAP: Price is trading above key VWAP levels, indicating strong bullish momentum.Volume Suite: High Relative Volume (RVOL) and positive Cumulative Volume Delta (CVD) support the bullish case.Momentum Indicators: RSI and MACD both indicate strong upward momentum.Macro Filters: Positive on-chain activity and DeFi growth align with a risk-on environment.Sentiment Overlay: High Fear & Greed Index and increased social buzz confirm bullish sentiment.