- Solana (SOL) has plunged over 20%, breaking key support levels and struggling to recover above $150, with resistance at $140 and $156 standing in the way of a potential rebound.
- If the price fails to rise above $148, it risks further decline toward $125, $120, or even $102, as bearish momentum remains strong.
Solana (SOL) has experienced a sharp decline of over 20%, sending shockwaves across the crypto market. The price, which recently struggled to hold above $180, has now slipped below crucial support levels, leaving investors wondering whether a recovery is possible. Let’s take a closer look at the key support and resistance levels that could determine Solana’s next move.
Solana’s Decline and Key Support Levels
The decline started when SOL failed to maintain its position above the $180 resistance level. As selling pressure intensified, the price broke below $165 and $155, eventually plunging below $150. A critical connecting bullish trend line was also breached at $148, further fueling the bearish momentum.
At its lowest point, SOL hit $132 before entering a consolidation phase. Currently, the cryptocurrency is trading below $140 and the 100-hourly simple moving average, signaling persistent weakness.
Resistance Levels That Could Trigger a Rebound
For Solana to stage a comeback, it needs to break through multiple resistance barriers. The first challenge lies at the $140 level, followed by stronger resistance at $144, which coincides with the 23.6% Fibonacci retracement level from the recent drop ($180 to $132).
The real test, however, lies at $156. If SOL can close above this level, it could open the door for further gains toward $165 and even $180, potentially reversing the downward trend.
On the flip side, if Solana fails to recover above $148, the downward trend could persist. The first major support lies at $132, with a more critical level at $125. A break below $125 would put SOL at risk of slipping to $120, and if bearish momentum continues, the price could drop as low as $102 in the near term.
Technical Indicators Show Bearish Pressure
- MACD: The hourly MACD for SOL/USD is currently gaining momentum in the bearish zone, suggesting continued downward pressure.
- RSI: The Relative Strength Index (RSI) remains below 50, indicating that sellers are in control.
Final Thoughts
Solana is at a crucial juncture, and the coming days will determine whether it can recover or continue its descent. Investors should keep an eye on the $148 and $156 resistance levels, as breaking above them could signal a potential rebound. However, if support at $132 and $125 fails to hold, further losses could be on the horizon.