Solana is attempting a recovery wave from the $80 zone. SOL price could struggle to clear the $92 and $94 resistance levels in the near term.
- SOL price started a fresh decline from the $104 resistance against the US Dollar.
- The price is now trading below $95 and the 100 simple moving average (4 hours).
- There was a break above a key bearish trend line with resistance at $85.00 on the 4-hour chart of the SOL/USD pair (data source from Kraken).
- The pair could start another decline if it fails to clear the $92 or $94 resistance.
Solana Price Faces Key Hurdles
Solana price started a fresh decline like Bitcoin and traded below the $95 support zone. There was a clear move below the $92 and $90 support levels.
Finally, SOL price found support near the $79 zone. A low was formed near $78.96, and the price is now attempting a recovery wave like Ethereum. There was a move above the $84 resistance. The price climbed above the 23.6% Fib retracement level of the downward move from the $103.40 swing high to the $78.96 low.
Besides, there was a break above a key bearish trend line with resistance at $85.00 on the 4-hour chart of the SOL/USD pair. It is now trading below $95 and the 100 simple moving average (4 hours).
Immediate resistance is near the $91.20 level. It is close to the 50% Fib retracement level of the downward move from the $103.40 swing high to the $78.96 low. The first major resistance is near the $94 level or the 100 hourly SMA.
Source: SOLUSD on TradingView.com
The main resistance is now near $98. A successful close above the $98 resistance could set the pace for another major increase. The next key resistance is near $112. Any more gains might send the price toward the $120 level.
Another Decline in SOL?
If SOL fails to rally above the $91.20 resistance, it could start another decline. Initial support on the downside is near the $84.80 level.
The first major support is near the $80.00 level, below which the price could test $75.00. If there is a close below the $68 support, the price could decline toward the $72.50 support in the near term.
Technical Indicators
4-Hours MACD – The MACD for SOL/USD is gaining pace in the bearish zone.
4-Hours RSI (Relative Strength Index) – The RSI for SOL/USD is below the 50 level.
Major Support Levels – $84.80, and $80.00.
Major Resistance Levels – $91.20, $94.00, and $98.00.
Disclaimer: The article is provided for educational purposes only. It does not represent the opinions of NewsBTC on whether to buy, sell or hold any investments and naturally investing carries risks. You are advised to conduct your own research before making any investment decisions. Use information provided on this website entirely at your own risk.
Credit: Source link
