Retesting the 61.8% Fibonacci Retracement Level Could Be a Defining Moment for the SOL/USD Pair

After consolidating for a few months, the price once again retraced to the 61.8% area after it hit the $200 level.

After consolidating for a few months, the price once again retraced to the 61.8% area after it hit the $200 level. It bounced off this area multiple times a few months later until the uptrend once again accelerated to push SOL to its current all-time high of $293 for a 140% gain.

Right now, the price is once again hovering above this key marker and this could be a defining moment for this cycle as a strong bounce off this area could push SOL to higher ground as it has the past two occasions.

History does not always repeat, but it often rhymes.

Momentum indicators are not yet favoring a bullish outlook so the cautious approach would be to wait until the Relative Strength Index (RSI) confirms that the trend has changed.

However, the MACD’s histogram shows that negative momentum is starting to weaken as it has posted its second consecutive light red bar.

Fibonacci retracements are typically confirmed by a strong rally after the price touches a key area. If this occurs in the next few weeks, this could be the beginning of a strong recovery for SOL that could push it to a fresh all-time high this year.