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Solana (SOL) Teeters on the Edge: Is a Steep Decline Next?

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Solana failed to cross the $205 resistance level and pared gains. SOL price is now below $192 and showing some bearish signs.

  • SOL price started a new decline after failing to stay above $200 against the US dollar.
  • The price is now trading below the $192 level and the 100 hourly simple moving average.
  • There is a solid bearish trend line forming with resistance at $190 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 $192 area.

Solana prices drop again

Solana price struggled to cross the $200-205 area and started a new decline, like Bitcoin and Ethereum. There was a move below the $200 and $192 support levels.

The price even fell below the $185 support level. A bottom was formed at $182.20, 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 $182 low.

Solana is now trading below the $192 level and the 100 hourly simple moving average. There is also a solid downtrend line forming with resistance at $190 on the hourly chart of the SOL/USD pair. On the upside, the price is facing resistance near the $190 level.

The next major resistance is near the $192 level. Key resistance could be $200 or the 50% Fib retracement level of the downward move from the high of $223 to the low of $182. A successful close above the $200 resistance area could pave the way for another steady increase. The next major resistance is $212. Any further gains could send the price towards the $225 level.

Another drop in SOL?

If SOL fails to rise above the $192 resistance level, it could start another decline. Initial support on the downside is near the $182 level. The first major support is near the $180 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 – $182 and $180.

Major resistance levels – $190 and $192.

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