Solana price analysis: Solana price hints at challenging the $40 mark despite bearish pressure

TL;DR Breakdown

  • Solana price is expected to rise to $40
  • The closest support level is at $38
  • Solana price faces resistance at $40

Solana price has broken above the $35 mark and strong bullish momentum has carried the price to challenge the $40 mark. Solana price records an over 14 percent price hike across the last seven days showing strong bullish momentum. However, the sharp bullish activity leaves room for a volatile price movement.

The broader cryptocurrency market observes a bearish sentiment across the last 24 hours with most major cryptocurrencies recording a loss across the time frame. Main currencies which had a loss include Dogecoin, and Ethereum that record a 4.43 and a 4.3 percent decrease respectively. Meanwhile, some other currencies recorded bullish movements e.g Bitcoin and Litecoin record a 0.36 and a 0.16 percent increase respectively.

Technical indicators for SOL/USDT

Across the technical indicators, the MACD shows strong bearish momentum as observed in the increasing size of the dark red histogram. The indicator saw a bearish reversal at 12 am yesterday and since then bearish pressure is increasing steadily and the indicator has fallen to below the 0.05 mark. Across the EMAs, the 26-EMAis trading above the 12-EMA and continues diverging while both EMAs fall.

The RSI is currently trading in the neutral zone a little above the 44.00 mark and does not issue a signal. The indicator has been trading in the neutral zone for the past week. At press time the RSI has again had a small spike towards the oversold region suggesting that there is an increasing bearish presence at the current price level.

The Bollinger bands at press time are wide and as the last few candlesticks are green the bands will expand further in the immediate future. As the bulls take charge of the market momentum, it will cause the volatility of Solana price to increase in the short term. Moreover, as the price is consolidating below the band’s mean line, the bands will be leaning downwards for the next few candlesticks.

Overall the 4-hour technical analysis issues a very weak sell signal with 9 of the total 26 major technical indicators suggesting their support for a bearish movement. On the other hand, only eight indicators issue buy signals suggesting bullish momentum. Meanwhile, nine indicators sit on the fence issuing no support for either side of the market.

The 24-hour technical analysis does not share this sentiment and also issues a buy signal with 14 of the 26 indicators suggesting a bullish movement against only four indicators suggest a bearish retracement. Meanwhile, eight indicators remain neutral and do not issue any signals at the time of writing

What to expect from Solana price?

Traders should expect Solana price to go down to $39 as the short term indicators give a weak bearish trend.However after that solana should rebound and challenge the $40 again as the midterm indicators give high bullish signals.Moreover traders can also expect high price volatility as the price may continue to rise.

Disclaimer. The information provided is not trading advice. Cryptopolitan.com holds no liability for any investments made based on the information provided on this page. We strongly recommend independent research and/or consultation with a qualified professional before making any investment decisions.

Source: https://www.cryptopolitan.com/solana-price-prediction-2021-06-11/