- Solana price started a fresh decline from the $48 resistance zone against the US Dollar.
- The price is now trading below $40 and the 55 simple moving average (4-hours).
- There was a break below a key bullish trend line with support near $42.00 on the 4-hours chart of the SOL/USD pair (data feed from Coinbase).
- The pair could extend losses if there is a clear move below the $34.00 support zone.
Solana price is trading below $38 against the US Dollar, similar to bitcoin. SOL could accelerate further lower if it stays below the $40 resistance zone.
Solana (SOL) Price Analysis
SOL price made a few attempts to gain strength above the $48 resistance zone. However, the price failed to clear the $48 zone and started a fresh decline.
There was a steady decline below the $45 support and the 55 simple moving average (4-hours). The bears pushed the price below the $40 support zone. Besides, there was a break below a key bullish trend line with support near $42.00 on the 4-hours chart of the SOL/USD pair.
The pair gained pace below the $38 level. A low was formed near $33.76 and the price is now consolidating losses. On the upside, an immediate resistance is near the $36.00 level and a connecting bearish trend line.
The next major resistance is near the $37.20 level. It is near the 23.6% Fib retracement level of the downward move from the $48.09 swing high to $33.76 low. The 55 simple moving average (4-hours) is also near $38. Any more gains might send sol price towards the $40.00 resistance zone.
The 50% Fib retracement level of the downward move from the $48.09 swing high to $33.76 low is also near $40.80 to act as a barrier. On the downside, an initial support is near the $34.20 level.
The next key support is near the $34 level. A downside break below the $34 support level might spark a sharp decline. In the stated case, the price may perhaps decline towards the $32 level. Any more losses might call for a test of $30.
Solana (SOL) Price
Looking at the chart, solana price is clearly trading below $40 and the 55 simple moving average (4-hours). Overall, the price could extend losses if there is a clear move below the $34.00 support zone.
Technical Indicators
4 hours MACD – The MACD is now gaining momentum in the bearish zone.
4 hours RSI (Relative Strength Index) – The RSI is now below the 50 level.
Key Support Levels – $34.00 and $30.00.
Key Resistance Levels – $38.00, $40.80 and $42.00.
Source: https://www.livebitcoinnews.com/solana-sol-price-analysis-risk-of-more-losses-below-34/