Solana (SOL) Price Analysis: Risk of Break Below $95

  • Solana price extended decline below the $100 support against the US Dollar.
  • The price is now trading below $100 and the 55 simple moving average (4-hours).
  • There is a major bearish trend line forming with resistance near $98.20 on the 4-hours chart of the SOL/USD pair (data feed from Coinbase).
  • The pair must clear $100 and $102 to start a fresh increase in the near term.

Solano price is struggling below $100 against the US Dollar, similar to bitcoin. SOL could decline sharply if there is a clear move below the $95 support.

Solana (SOL) Price Analysis

SOL price attempted an upside break above the $110 and $112 levels, but failed. As a result, it started a fresh decline below the $105 and $102 support levels.

The pair even settled below the $100 support zone and the 55 simple moving average (4-hours). It even spiked below the $95 level and traded as low as $94.42. It is now consolidating losses and trading above $96. On the upside, an immediate resistance is near the $98.20 level.

There is also a major bearish trend line forming with resistance near $98.20 on the 4-hours chart of the SOL/USD pair. The trend line is near the 23.6% Fib retracement level of the downward move from the $111 swing high to $94 swing low.

The next major resistance on the upside is near the $102.50 level and the 55 simple moving average (4-hours). It is near the 50% Fib retracement level of the downward move from the $111 swing high to $94 swing low.

To start another increase, the price must settle above the $100.00 and $102.50 levels in the near term. The next major resistance could be $110.00, above which the price could rise to $120.00. On the downside, there is a key support near $95.

The next key support is near the $92 level. A downside break below the $92 support level might spark a sharp decline. In the stated case, the price may perhaps decline towards the $80 level.

Solana (SOL) Price
Solana (SOL) Price

Looking at the chart, solana price is clearly trading below $100.00 and the 55 simple moving average (4-hours). Overall, the price must clear $100 and $102 to start a fresh increase in the near term.

Technical Indicators

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

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

Key Support Levels – $95.00 and $92.00.

Key Resistance Levels – $98.20, $102.50 and $110.00.

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.

Subscribe

- Never miss a story with notifications

- Gain full access to our premium content

- Browse free from up to 5 devices at once

Latest stories

spot_img