Top cryptocurrency analyst Benjamin Cowen has drawn parallels between Solana's current trajectory and Cardano’s price path back in 2019. In a recent update to his vast YouTube following of 784,000 subscribers, Cowen delved into the potential price movements of Solana (SOL), shedding light on its past performance and possible future trends.
Solana's Resilience in the Spotlight
One of the highlights of Cowen’s analysis is his observation that Solana has been “a bit more resilient” than some of its peer altcoins. This resilience is particularly noteworthy considering the heavy capitulation Solana experienced towards the close of 2022.
Solana, which is the 10th-ranked crypto asset by market capitalization, marked a low earlier this year. Following this, it surged to achieve a high and then “swept the high.” This pattern has sparked a comparison with Cardano's performance in 2019, igniting Cowen's curiosity about SOL's future path.
A Hypothetical Path for Solana
Drawing on the past for clues, Cowen shared, “I’m wondering if Solana’s now going to sweep the low. If it breaks down below that trendline [around $16.50], which is an ‘if/then’ statement, it leads me to wonder if SOL will descend to sweep the low [around $11].”
While some might view this speculation as somewhat bearish, Cowen references Cardano's previous trajectory as a potential guiding light. He recalls how ADA underwent a similar pattern: after achieving a high, it “swept” this high and subsequently plummeted to “sweep the lows.”
He emphasized that Cardano's true momentum only became evident after it swept its lows. This led to a more sustained and bullish run.
Solana’s Current Standing
As of this report, SOL is trading at $24.20. The cryptocurrency has exhibited a bullish trend recently, with an uptick of nearly 5% within the last 24 hours.
Cowen’s historical comparison between Solana and Cardano offers an intriguing perspective on the potential pathways that major altcoins could take. While the past doesn't predict the future, such insights can prove invaluable for investors and enthusiasts alike who are navigating the often unpredictable terrains of the crypto world. As always, the future remains uncertain, but understanding previous patterns can give an edge in deciphering potential outcomes.