Solana’s cryptocurrency market is currently facing turmoil as the price has dipped below the crucial $150 zone. Trading at approximately $141, SOL is exhibiting a bearish trend, with consolidation in losses indicating the potential for further declines.
After being unable to sustain levels above $162, Solana’s price has experienced a substantial downturn, paralleling the declines seen in major cryptocurrencies like Bitcoin and Ethereum. The recent bearish momentum has seen SOL drop below both the $155 and $150 support levels, positioning it well below the 100-hourly simple moving average. Currently, it is grappling with immediate resistance near the $148 mark, which aligns with a key bearish trend line on the hourly chart.
Despite a slight recovery from a low of $141, Solana’s price remains entrenched below essential Fibonacci retracement levels, specifically the 23.6% retracement of the move from the recent high of $172 to the low of $141. Market observers note that if SOL can defend the support levels around $142 or $140, there could be a possibility for a recovery wave. Conversely, failure to rise above $152 could see the price continue its descent, with initial support at $142, and major support further down at $140 and $132.
Technical indicators are also reflecting bearish sentiment, with the MACD showing gains in the bearish zone, and the RSI indicating that it’s below the neutral threshold of 50.
Should there be a successful close above the critical resistance level of $160, it could pave the way for a stronger recovery, potentially reaching toward the $172 mark and beyond to the $180 level. However, the current market sentiment remains cautious, with traders keenly observing support and resistance levels for any potential shift in momentum.
While the current outlook is challenging, a determined defense of the lower support levels may provide Solana the opportunity to stage a comeback in the competitive cryptocurrency landscape.