Live Markets, Charts & Financial News

Solana (SOL) Falls Under $200: Temporary Setback or Trend Shift?

2

Solana failed to cross the $225 resistance level and pared gains. SOL price is now below $200 and is showing some bearish signs.

  • SOL price started a new decline after failing to stay above $220 against the US dollar.
  • The price is now trading below the $200 level and the 100 hourly simple moving average.
  • There is a solid downtrend line forming with resistance at $204 on the hourly chart of the SOL/USD pair (data source from Kraken).
  • The pair could start a new increase if the bulls cross the $205 area.

Solana prices drop again

Solana price struggled to cross the $220-225 area and started a new decline, like Bitcoin and Ethereum. There was a move below the $212 and $205 support levels.

The price even fell below the $200 level. A bottom was formed at $196.73, and the price is now consolidating losses under the 23.6% Fib retracement level of the downward move from the $223 swing high to the $196 low.

Solana is now trading below the $200 level and the 100 hourly simple moving average. There is also a solid downtrend line forming with resistance at $204 on the hourly chart of the SOL/USD pair. On the upside, the price is facing resistance near the $204 level.

The next major resistance is near the $210 level or the 50% Fib retracement level of the downward move from the $223 swing high to the $196 low. The main resistance could be at $213. A successful close above the $213 resistance level could set the pace for another steady increase. The next major resistance is $225. Any further gains could push the price towards the $240 level.

Another drop in SOL?

If SOL fails to rise above the $205 resistance, it could start another decline. Initial support on the downside is near the $196 level. The first major support is near the $188 level.

A break below the $180 level could send the price towards the $175 region. If there is a close below the $175 support level, the price may fall towards the $162 support level in the near term.

Technical indicators

Hourly MACD – The MACD for SOL/USD is accelerating into the bearish zone.

Hourly RSI (Relative Strength Index) – The RSI for SOL/USD is below the 50 level.

Key Support Levels – $196 and $188.

Major resistance levels – $205 and $210.

Comments are closed, but trackbacks and pingbacks are open.