The SOL/USDT pair is experiencing a clear selling pressure after breaking the 99 moving average on the 4-hour time frame, raising concerns about the continuation of the decline in the short term. In this technical analysis, we review the most important technical levels and indicators that help determine the upcoming direction and potential trading opportunities.
The price is currently at $161.83.
• There is a clear drop from the recent peak at $184.88.
• A clear break of the 99-period moving average (MA 99) in purple, indicating weakness in upward momentum in the short to medium term.
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📉 Moving Averages (MA):
• MA 7 (yellow) = 168.01 ➜ Below the current price, indicating selling pressure.
• MA 25 (pink) = 169.09 ➜ Negative crossover with MA 7, supporting the continuation of the decline.
• MA 99 (purple) = 163.18 ➜ Has been broken down, an additional negative signal.
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📊 Relative Strength Index (RSI):
• RSI (6) = 35.55
• RSI (12) = 39.50
• RSI (24) = 43.98
All of them indicate approaching the oversold zone (below 30), but it has not reached it yet. This means there is a possibility for further decline, but it may also approach potential rebound areas.
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📌 Support and Resistance:
• Current support: at the 159.44 area, which is the lowest candle in 24 hours.
• Next potential support: around $148 – $150 (an influential past price).
• Nearby resistance: 163.18 (MA 99) and 168.01 (MA 7) then 169.09 (MA 25).
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📉 Technical Outlook:
• The current trend is downward.
• Breaking MA99 is considered a negative signal and caution should be taken.
• The price is close to support, but the indicators do not indicate a strong rebound yet.
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✅ Proposed Strategy:
1. For day traders:
• There is no confirmation of a rebound yet, wait for a bullish reversal candle to appear (like a bullish engulfing candle).
• Or wait for a breakout of MA 99 upwards again as a safe entry signal.
2. For medium-term investors:
• One can wait until the price movement is clear with respect to MA99.
• If support at 159 is broken with a clear close, we may see lower levels (150 or even 141)