Bullet Points:
• SOLO, the XRP Ledger and BNB Smart Chain-based native token, has surged in the last few days despite broader crypto market malaise.
• SOLO has a strong support base in the $0.12-1350 area and bulls will be hoping for a break above $0.20, which could open the door to a retest of October highs in the $0.40 area.
• Anticipation ahead of an upcoming airdrop of CORE tokens to SOLO holders is likely driving the rally.
Sologenic, the asset tokenization-focused platform, has been experiencing a surge in its native token SOLO, despite broader cryptocurrency markets coming under pressure in tandem with stocks. SOLO, which is XRP Ledger and BNB Smart Chain-based, was last changing hands at around $0.18, up around 14% on the day and taking its run of gains since the start of the week to around 22%. Although SOLO has backed off around 6% from earlier session highs in the $0.20 area, it appears to have found resistance from its 50, 100 and 200-Day Moving Averages, as well as the mid-November lows, which triggered a round of profit-taking.
Despite this, SOLO has a strong support base in the $0.12-1350 area and bulls will be hoping that SOLO can soon muster a more lasting break above $0.20. If this occurs, it could open the door to a retest of October highs in the $0.40 area. Any retracement back to the 21DMA in the $0.15 area would likely be very attractive for the bulls.
The surge in SOLO is likely being driven by anticipation ahead of an upcoming airdrop of CORE tokens to SOLO holders. CORE is the cryptocurrency that will power the Coreum blockchain, a brand-new asset tokenization platform that is being developed by the Sologenic team. The airdrop is scheduled to take place on December 31st, and will reward SOLO holders with a 1:1 ratio of CORE tokens. This is likely driving speculation among traders and investors, causing the price of SOLO to pump in the run-up to the airdrop.
As such, traders and investors alike are encouraged to keep an eye on SOLO in the coming days and weeks, as the airdrop approaches. With a strong support base and the anticipation of the airdrop driving speculation, SOLO could see a significant surge in the near-term.
