As a seasoned crypto investor with over a decade of experience under my belt, I’ve seen my fair share of market volatility and the ebb and flow of various digital assets. The recent performance of Solana (SOL) has me concerned, as it struggles to break above the crucial $140 resistance level while other altcoins are surging.
Despite a general rebound in the cryptocurrency market from its local lows, Solana (SOL) seems to be lagging behind, finding it challenging to surpass the critical $140 barrier. This underperformance has sparked concerns among investors, who are now questioning Solana’s ability to match the current market momentum.
Some analysts foresee a significant drop back towards the annual low of approximately $78 for Solana’s price if its current trend continues. While Solana has generally maintained its value during previous Bitcoin and other altcoin plunges, its recent market behavior indicates that the possibility of a correction is becoming increasingly likely.
If Solana (SOL) doesn’t manage to rise above $140 and align with the broader market recovery, it might face a more severe decline. While Solana has historically held up better during market volatility compared to some of its counterparts, there is an increasing sentiment that Solana could soon experience a substantial drop. Investors are closely watching for any upcoming price movements.
Solana Struggling To Keep Bullish Momentum
Over the past week, Solana (SOL) has dropped by more than 7%, whereas numerous other altcoins have skyrocketed with double-digit increases. Such a pattern has sparked unease among investors, as they worry that SOL could follow the downward trend many altcoins have seen in recent times.
A seasoned analyst and ex-portfolio manager from Amdtrades, boasting nearly a decade’s worth of expertise, recently delved into the technical aspects of Solana’s price fluctuations, drawing attention to potential price thresholds that may cause worry.
As per Amdtrades’ analysis, Solana finds itself at a pivotal juncture. If it cannot surpass the significant resistance of $140—a price point that previously provided strong support—there might be a substantial correction ahead. He pointed out that the first critical level to monitor is $115; if this level is broken, it could initiate more downward movement.
Subsequent to the analysis, there’s a potential for SOL (Solana) to dip down to $100. In an unfavorable outlook, it might even plunge to as low as $78. Should it reach these lower prices, it would signify a 40% correction from its current market value.
The risk of Solana hitting these lows remains high, especially if it continues to struggle while other cryptocurrencies recover. However, Amdtrades also emphasized the potential for a rebound.
If Solana (SOL) manages to break through and sustain itself above $140, this event might ignite a recovery phase and potentially reverse the current downward trend. At present, investors are closely monitoring these price points to determine whether Solana will experience a more significant dip or regain its momentum.
SOL Price Levels To Watch
As a crypto investor, I’m observing Solana (SOL), which is presently trading at around $130. This key level might significantly influence its upcoming direction. After attempting to breach the $140 resistance, the price encountered a 7% rejection, causing some unease among traders, including myself.
Reaching $140 aligns with the daily 200 exponential moving average (EMA) at approximately $139.26, a crucial technical signal that previously offered support since last October but now acts as resistance instead. This shift has intensified the pressure on Solana’s bulls to retake control.
For a potential shift in the market’s positive direction, SOL needs to surpass its current Exponential Moving Average and retake the $140 mark. If this happens, it could dispel negative market feelings and potentially initiate a strong 20% rally, pushing the price up to around the next resistance zone near $163. On the contrary, if SOL fails to regain these levels, the situation might become more bearish.
If the price persists in falling and fails to surpass $140, there’s a possibility that Solana (SOL) may experience a more substantial decline, potentially dropping by approximately 15% to around $110.
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2024-09-19 04:36