Solana price recently soared to a new record high, climbing by over 80% in the past week. With new infrastructural developments in the Solana ecosystem, SOL has been able to climb to an all-time high above $75. Leading the altcoin surge along with Solana is Cardano, as it anticipates the launch of smart contracts on its network in September.
Solana price soars, SOL enters top 10
Solana price has been able to benefit from the recent $70 million crowdfund to support its blockchain-powered decentralized exchange (DEX) Mango Markets.
The exchange’s model is similar to other Ethereum-based DEXs, including Uniswap and SushiSwap.
Solana also witnessed recent updates including Wormhole, a communication protocol between the blockchain and other top DeFi projects, including Terra, Ethereum and Binance Smart Chain.
A non-fungible token (NFT) project called Degenerate Ape Academy recently launched on Solana, also incentivizing SOL bulls to push the altcoin’s price higher.
Solana then successfully entered the top ten cryptocurrencies by market capitalization, reaching nearly $20 billion.
Solana price started its explosive rally on August 15, forming a three white soldiers candlestick chart pattern on the daily chart. This particular pattern unfolds across three trading sessions and represents a strong price reversal from a bear market to a bull market.
Although Solana price is leading the altcoin market surge, SOL must close above the candlestick close from the previous day’s candle for the rally to continue.
Solana price has effectively reached the target of the double bottom chart pattern, as a 88% climb toward $72 has already materialized.
Buying pressure has increased, which led to the subsequent rally. Should the bulls continue to take control, the next target for Solana price is at the 127.2% Fibonacci extension level at nearly $90. Bigger aspirations could target the 161.8% Fibonacci extension level at $108.
However, Solana price is flashing a warning signal given by the Relative Strength Index (RSI) which suggests that SOL is overbought.
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Cardano price nears all-time high
Cardano price also met its double bottom chart pattern target at $2.23, effecting its 88% surge from the low on July 20.
Currently, Cardano price appears to be consolidating after its rally, as it retraces to retest critical levels of support. The first line of defense for ADA is at the 61.8% Fibonacci extension level at $1.90.
Further selling pressure may see ADA fall further to retest the 50% Fibonacci extension level at $1.73.
Additional support may arise at the 20-day Simple Moving Average (SMA) at $1.62 and the 38.2% Fibonacci extension level at $1.56. Collapsing below this level could hinder the token’s bullish forecast.
However, should ADA be able to sustain trading above $1.90, Cardano price could aim to target the all-time high again.