Solana bears are dominating the market and thus, SOL is expected to plummet further in the coming days. The crypto support is prominent at $37.7 and resistance is strong at $45.
Meanwhile, the bears are gaining traction and could overpower the market. SOL price has recently dwindled down from $42 to $38 and is getting quite comfortable with that range.
Negative movement is remarkable specifically at the $39 zone as SOL remains bearish. Solana has dipped by 5.52% overnight and is currently trading at $38.7 with a trading volume of $1,324,152,085. As of press time, SOL has a market capitalization of $13,403,122,727 and is currently ranked as the 9th largest coin in terms of market cap.
Suggested Reading | Bitcoin Retreats Over Last 6 Sessions As BTC Bulls Chart Their Next Move
Solana Inches Back Towards Support Line
Solana price just like Bitcoin and Ethereum has demonstrated a downward movement. More so, the cryptocurrency appears to be less volatile. Consequently, the SOL/USD price is crawling towards the support line implying a reversal that can potentially breach the pair’s bearish movement.
SOL price has swerved into a bullish momentum seen in the past few days. However, as the volatility seems to simmer down, the SOL value exhibited minimal change.
The SOL/USD pair is crossing below the Moving Average curve showing a bearish streak. On the flip side, the market now looks to be swerving downwards as it shifts to a negative movement.
The RSI value appears stable at 49. On the other hand, the RSI score is also showing a downward trend which implies a decline in market dynamics. Moreover, the drop in the RSI score shows that the selling activity has grown stronger compared to the buying activity.
Looks like the bears are dominating the market. SOL price shows bearish action with a strong tendency of price sliding further down in the coming days. So, if the bulls do not retaliate soon, the bears will snow under the market for an extended period of time.
SOL total market cap at $12.8 billion on the daily chart | Source: TradingView.com
Can SOL Breach $42?
The only chance here to overpower the bears is for the price to break the support. And that would be the time that the bulls will command the market dynamics. SOL has no doubt created an impressive streak last week which is an advantage for day traders mostly.
Now, if SOL price bottoms out, there is a possibility of a 16% rally shooting for the price zone of $44. However, if the bulls can’t grapple on the support at the 21-day SMA then the uptrend can be a precarious scene.
As of press time, conditions are neutral. If SOL can breach $42, then the bulls can rally and target $60 which can potentially induce a 66% boost in Solana price.
Suggested Reading | Cardano (ADA) Spikes 8%, Overtakes XRP In Last 24 Hours
Featured image from Exodus Wallet, chart from TradingView.com
Source: https://www.newsbtc.com/news/solana-loses-17-of-value/