Solana price analysis: SOL moves sideways at $23.61 after bearish  pressure

Recent Solana price analysis reveals that the coin has moved sideways over the last few days. The reverse has begun to take shape resulting in bearish pressure. The current price of Solana is seen at $23.61 with a marginal downward trend in the graph which indicates that sellers outnumber buyers at present. The bearish has been in control for the last few days, which is creating a headwind for the cryptocurrency.

The resistance lies at $24.89, and the support level is seen at $23.50. In terms of volume, Solana has seen a decrease in buying momentum as well as trading activity over the last few days. It seems that the bearish pressure is likely to remain in place for the coming hours, which could further push SOL down toward its support level.

Solana price analysis 24-hour chart: SOL forms a bearish enmity at $23.61

The 24-hour chart for Solana reveals that the coin has formed a bearish engulfing pattern at $23.61, losing about -4.73% in the last 24 hours. The coin is likely to remain bearish and test its support at $23.50 before we could see any kind of recovery. After trading on a flattering uptrend for the past week, SOL has been met with stiff resistance. This can be attributed to the overall bearish market sentiment that has been prevailing in the cryptocurrency sector.

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SOL/USD 1-day price chart. Source: TradingView

The technical indicators further reveal that the Relative Strength Index (RSI) has dipped to the 62.48 mark, indicating the presence of bearishness in the market. The Moving Average Convergence Divergence (MACD) indicator on the daily chart shows the seller’s line is moving above the buyer’s line, but the gap between them is decreasing. This may signify that the bearish pressure is likely to continue for some time. The moving average indicator is decreasing and showing a bearish crossover at the moment.

Solana price analysis hourly chart: Support is critical at $23.50

On observing the short-term(4-hour) Solana price analysis chart we can see that the coin is trading in a consolidation range between $23.50 and $24.89 which is pretty narrow. This indicates that buyers are not pushing the price beyond the resistance level, despite a few attempts to do so. The  Moving average shows the price moving in a sideways direction and below the downtrend line.

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SOL/USD 4-our price chart. Source: TradingView

Also, the Relative Strength Index (RSI) has dipped to 49.70 which is indicating that the bearish pressure is still in play and could possibly push SOL lower toward its support at $23.50 in the coming hours. The Moving Average Convergence Divergence (MACD) indicator on the hourly chart shows a bearish crossover with a negative divergence on the chart.

Solana price analysis conclusion

Solana price analysis reveals that the coin has been moving sideways and is under intense bearish pressure. The selling pressure is likely to remain in play over the coming hours, which could see SOL test its support at $23.50. The technical indicators also suggest that the bearish pressure is likely to remain for some time and further push the coin lower.

Source: https://www.cryptopolitan.com/solana-price-analysis-2023-02-05/