The crypto industry has seen significant losses, with Bitcoin price falling below the $67,000 mark in early trading today. Since then, the top altcoins have also followed the market leaders and shown similar trends in their respective portfolios.
On the other hand, the Solana token has shown a clear bearish curve on its chart over the past 24 hours, indicating an ongoing correction in the cryptocurrency markets.
Solana Price Breaks Above Its Major Support Level!
After showing a neutral trend for a while, the SOL price regained momentum and broke through the resistance level, and the price moved sideways for the next five days. As market volatility increased, the Solana price rose sharply by more than 75% in 12 days.
Since then, the market has lost momentum and the Solana token has seen a correction of around 19%. Since then, SOL token price has been trading within a closed range between $179.30 and $200 and failed to break above its resistance levels on multiple occasions.
Furthermore, Solana price has corrected its valuation by about 9% in the past day, causing the SOL token to trade close to its support level. Moreover, the altcoin has fallen by about 5% in the past week, indicating a weak bull market in the cryptocurrency space.
Market Sentiment for SOL:
The Moving Average Convergence Divergence (MACD) shows rising red bars with falling averages, highlighting the increasing selling pressure in the cryptocurrency industry.
On the other hand, the crossover EMA 50/200 days shows neutral price action, indicating uncertainty about the altcoin’s price action this week.
Will Solana price drop?
If the market sustains the price above the important support at $180, the bulls will regain momentum and prepare to retest the resistance at $200. Moreover, if the bulls sustain the price at this level, the Solana token will attempt to test its upper resistance at $220 this month.
Conversely, if the bulls fail to regain the momentum, the SOL price will test the support at $180. Moreover, if the bears continue to suppress the bulls, the price will continue to decline and test its lower support at $156.75 in the coming weeks.
