SOL Downward Fluctuation, Awaiting Bottoming Signal
Yesterday, SOL followed Bitcoin to perform a high-to-low reversal, with the price encountering significant resistance after touching the daily MA30 moving average, ultimately closing as a small bearish candle with a long upper shadow. Although the trading volume increased moderately compared to the previous day, it remains at a normal level overall, indicating that the market has not formed a consensus on bullish sentiment.
From a technical perspective, it displays typical characteristics of a downward trend: the daily MA30 moving average continues to apply downward pressure, and while the MACD shows weakening bearish momentum, it remains below the zero line. Currently, the price is at a critical watershed, with the $142 support level becoming the focal point of the bulls and bears contest. If this level holds, it may trigger a rebound towards the $156-$165 area; conversely, it may plunge to $134 or even $120 support.
For investors, the current strategy should be to maintain patience:
Consider accumulating spot positions in batches near $142
If a rebound to the $156 pressure area encounters resistance, consider reducing positions moderately
Be cautious of accelerated downside risk if it effectively breaks below $134
It is worth noting that SOL has not yet shown a trend reversal signal; any rise should be regarded as a rebound rather than a reversal. In a large-scale fluctuation pattern, controlling positions and waiting for clearer bottoming signals is the best course of action. The market is brewing a new direction, and Bitcoin's trend will continue to dominate SOL's short-term fluctuations.
