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HomeAltcoin NewsSolana (SOL) Price Analysis: Recovery Could Face Many Hurdles

Solana (SOL) Price Analysis: Recovery Could Face Many Hurdles

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  • Solana price gained bearish momentum below the $140 level against the US Dollar.
  • The price is now trading below $132 and the 55 simple moving average (4 hours).
  • There is a key bearish trend line forming with resistance near $130 on the 4-hour chart of the SOL/USD pair (data feed from Coinbase).
  • The pair could recover, but the upsides might be limited above the $145 resistance.

Solana price is trading in a bearish zone below $140 against the US Dollar, like Bitcoin. SOL could extend losses if it stays below the $145 resistance zone.

Solana (SOL) Price Analysis

SOL price started a fresh decline below the $150 support zone. The price gained bearish momentum below the $140 support zone. The bears were able to push the price below the $132 and $125 support levels.

The recent low was formed near $121 and the price is now consolidating losses. It seems like the price might attempt a recovery wave above the $125 level or the 23.6% Fib retracement level of the downward move from the $159.78 swing high to the $121.00 low.

On the upside, immediate resistance is near the $130 level. There is also a key bearish trend line forming with resistance near $130 on the 4-hour chart of the SOL/USD pair.

The next major resistance is near the $134 level. A clear move above the $134 resistance level might call for a steady increase. The next major resistance sits near the $145 level or the 61.8% Fib retracement level of the downward move from the $159.78 swing high to the $121.00 low, above which the price might rise toward $155. Any more gains might send SOL price toward the $172 resistance zone.

On the downside, initial support is near the $120 level. A downside break below the $120 support level might spark a major drop. In the stated case, the price may perhaps decline toward the $105 level.

Solana (SOL) Price
Solana (SOL) Price

Looking at the chart, Solana price is trading below $140 and the 55 simple moving average (4 hours). Overall, the price could recover, but the upsides might be limited above the $145 resistance.

Technical Indicators

4 hours MACD – The MACD is now gaining momentum in the bearish zone.

4 hours RSI (Relative Strength Index) – The RSI is now below the 50 level.

Key Support Levels – $120 and $105.

Key Resistance Levels – $130, $134, and $145.

Aayush Jindal
Aayush Jindal
Aayush has spent over seven years as a financial markets contributor and observer. He specializes in market strategies and technical analysis, comes with an IT background. He possess strong technical analytical skills and is well known for his entertaining and informative analysis of the currency and commodities markets. He is a software engineer by profession, loves blogging and observing financial markets.

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