Solana Price (SOL) Faces Challenges at $200: Bulls Remain Active

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As a seasoned financial analyst with extensive experience in the cryptocurrency market, I have closely monitored Solana’s price action and observed its recent gains that surpassed Bitcoin and Ethereum. However, my technical analysis reveals some concerning signs for SOL investors.

1. The price of Solana continues to climb, surpassing $180. However, it’s currently battling to break through the $200 barrier, suggesting potential for a short-term pullback.

    SOL price started a downside correction from the $192 zone against the US Dollar.
    The price is now trading below $185 and the 100-hourly simple moving average.
    There was a break below a key bullish trend line with support at $187 on the hourly chart of the SOL/USD pair (data source from Kraken).
    The pair could start another increase unless it settles below the $175 support.

Solana Price Fails To Test $200

The price of Solana continued to advance positively, surpassing both Bitcoin and Ethereum‘s growth. It successfully breached the resistance at $180 and $185. Later, it approached the $192 mark but faced challenges in moving beyond the $200 mark.

1) Near $193.86, a peak was established, followed by a descent in the market’s trend. The price fell below both the $190 and $188 resistance points. It also dropped beneath the 23.6% Fibonacci retracement level of the uptrend that started at the $165 swing low and peaked at $193.

Additionally, the SOL/USD pair dropped beneath a significant bullish trend line, which previously held at around $187 on the hourly chart. Currently, Solana’s price is under $185 and below the 100-hourly simple moving average.

1) Bullish activity is currently observed close to the $180 support and the 50% Fibonacci retracement point of the upward trend that originated from the $165 swing low and peaked at $193. On the other hand, the price encounters resistance around the $185 mark. The next substantial resistance can be found near $188.

Solana Price (SOL) Faces Challenges at $200: Bulls Remain Active

1. If we see a strong break above the $188 barrier, it could pave the way for continued upward momentum. The upcoming significant resistance lies around $192. Further growth could potentially propel the price towards the $200 mark.

More Losses in SOL?

1) If Sol’s price doesn’t manage to surpass the $185 barrier, there might be a subsequent drop. A potential floor in this scenario would be around $180. The primary support, though, lies closer to the $175 mark.

1. Dropping beneath $175 could push the price down to around $165. Should we see a closing point below this level, it’s possible that the price may trend lower towards the nearby support at $155 over the short term.

Technical Indicators

Hourly MACD – The MACD for SOL/USD is gaining pace in the bearish zone.

Hourly Hours RSI (Relative Strength Index) – The RSI for SOL/USD is below the 50 level.

Major Support Levels – $180 and $175.

Major Resistance Levels – $185 and $188.

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2024-07-30 08:10