Solana Rises 10% Amid White House Tariff Adjustments

Solana (SOL) is drawing interest again. After a solid 10% increase over the past week, SOL is currently trading at $141.95. The latest rally is fueled by a combination of market optimism and a technical breakout, with experts speculating that SOL could be poised to push toward $160. But what’s driving this surge, and can Solana sustain this momentum?

Tariff Shifts Spark Market Optimism

If you’ve been following crypto news, you might have noticed that Solana’s recent uptick coincides with some crucial geopolitical developments. It was reported that the White House is narrowing its approach to tariffs set to take effect on April 2. Instead of imposing sweeping sector-specific tariffs, the administration is likely to focus on reciprocal levies aimed at certain foreign trade partners. This shift has already had a noticeable impact on risk assets, including cryptocurrencies.

Now, why should this matter to crypto investors? In short, easing tariff concerns creates a more favorable environment for risky assets like Solana. The market responded positively during early trading hours, with Bitcoin breaking above $87K, followed by a rise in Solana’s price.

Positive Sings For Solana

Beyond macroeconomic events, Solana’s chart is showing encouraging signs for its price action. In particular, the token recently broke past the $137 resistance level, a significant milestone for the asset. Crypto analyst Crypto Curb sees this as a key turning point, marking the end of a persistent downtrend that has been in place since the highs of January 29, often referred to as the “Trump highs.”

The technical outlook from here is relatively optimistic. With the Relative Strength Index (RSI) recovering from oversold conditions and pointing upwards, Solana’s momentum looks poised to continue. Additionally, the Moving Average Convergence Divergence (MACD) indicator has given a bullish crossover signal, suggesting the rally could be far from over.

Another factor contributing to Solana’s potential for growth is the increasing adoption of its network. On-chain data reveals that Solana now boasts over 11.09 million addresses holding SOL tokens — an all-time high. The number of active addresses is a key indicator of the health and growth of any blockchain, and this surge in Solana’s network activity shows that more users are flocking to its ecosystem.

Can SOL Reach $160?

Solana’s recent breakout above the $137 resistance level has traders buzzing about its potential to hit $160. The technical indicators are lining up in favor of further upside momentum. Thus, it seems the path toward $160 is becoming clearer. If Solana maintains its bullish trajectory and continues to climb, it could see a 15% rally from its current price levels. This would bring SOL closer to its next key resistance at $160, marking a significant milestone in its recovery from recent lows.

Still, while Solana has shown resilience, external factors like broader economic shifts and market sentiment can influence its price. If SOL fails to hold above the $137 support, there’s a risk of a retracement, potentially testing lower support levels. But if the bullish trend continues and Solana can break through additional resistance levels, reaching $160 is a real possibility in the near future.

Overall, Solana is on an upward trend now, but investors should still be cautious about important factors that could influence its price. The coming weeks will be crucial in determining whether SOL can sustain its rise and break through to new highs.