Solana price analysis is quite bearish today, given the fact that the entire crypto market is in a downtrend. Its price closed at $31.42 yesterday and reached a peak at $33.48. However, the rise was very short-lived, and it caused Solana to fall lower. Currently, there is strong support for Solana at $30.
Both Ethereum and Bitcoin have fallen in price today. Both have decreased by 6.84 percent and 2.97 percent, respectively. Since the market is in a downtrend, it looks like Solana might be gearing up to fall further. It seems highly likely to break the support and dip lower.
The daily Solana price analysis gives us a clearer look at the recent price action of Solana. If the current support line breaks, then the next support can be expected around the $26 mark.
Solana 24-hour price movement: Support at the $30 mark is still strong
As we can see on the 1-hour Solana price analysis, the price dipped to $29 earlier today. However, it was very short-lived, and it quickly bounced higher. Technically, we can say that the support at $30 is broken already. But since SOL/USD bounced back up after testing it, the support is still strong.
The RSI is rapidly headed towards a more oversold end as it is currently at 36, and the gradient is also negative. At the same time, the MACD indicator also shows the histograms in red with increasing intensity.
Overall, Solana has undergone a decrease of 3.67 percent. At the same time, its 24-hour trading volume has increased by 44.74 percent, whereas the market cap reduced by 3.64 percent.
Solana might retest the support line a few more times in the next few hours. Given the market conditions, it looks like the bottom has not been reached yet. However, Solana might continue to trade in a range before dipping lower again.
4-hour Solana price analysis: Bearish momentum is still strong
The 4-hour Solana price analysis chart shows us how bad the current market conditions are. Histograms on the MACD indicator just entered the reds after a crossover. Solana continues to hover around the support line. It looks like the bulls are completely exhausted at this point, preventing SOL/USD from bouncing significantly. This is not a good sign because the bearish momentum can eventually take over and cause the price to dip even lower. So, the bottom has not been reached yet.
Solana price analysis: Conclusion
Solana is currently hovering around the support line at $30, and the bulls are exhausted. Eventually, the bears will take over. So, Solana is expected to dip in the next few hours. This might be a good opportunity to dollar-cost-average your position in Solana if you believe in its long-term future potential. However, this will be a long-term hold. Short-term investment in Solana is not advised at this point.
While SOL/USD struggles to recover, consider learning more about how major cryptocurrencies are performing. This will help you make better decisions during the bear market.
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-analysis-2022-09-21/