Solana Price Turns Red
Solana (SOL) started a fresh decline from the $180 resistance zone. It is now showing many bearish signs and might dive toward the $100 support.
After a steady recovery, Solana failed to clear the $180 resistance. A high was formed at $181 and SOL started a fresh decline, like Bitcoin and Ethereum. There was a move below the $160 and $150 support levels.
The bears even pushed the price below the $132 support and the price settled well below the 50-day simple moving average (blue). Finally, the price tested the $112 zone.
Solana is now showing bearish signs below the $132 level. The current price action is still negative, with a high chance of more downsides in the coming days. There is also a key bearish trend line forming with resistance at $128 on the daily chart.
Immediate support is near the $112 level. The first major support sits near the $108 level. If there is a close below the $108 support, the price might dive and test the $100 support.
The next key support could be the $92 level. Any more losses could send SOL toward the $80 support zone in the near term.
Another Recovery Attempt In SOL?
If the bulls manage to protect the $112 support, there could be a fresh upward move. Immediate resistance on the upside sits near the $122 level. The first major resistance sits near the $128 level and the same trend line.
The trend line coincides with the 23.6% Fib retracement level of the downward move from the $181 swing high to the $112 low. A close above the trend line resistance could decrease selling pressure and send the price higher toward the $135 resistance.
The next key resistance could be $145 and the 50-day simple moving average (blue). The 50% Fib retracement level of the downward move from the $181 swing high to the $112 low is also near the $145-$146 zone.
A clear move above the $145 level could send the price toward the next key resistance at $165. A successful daily close above the $165 resistance might send the price toward the $180 level. Any more gains might send the price toward the $200 level or the 1.236 Fib extension level of the downward move from the $181 swing high to the $112 low at $198.
Overall, Solana price is signaling a breakdown below the $132 support and the 50-day simple moving average (blue). If the bears remain in action, the price could test $100 or even $92. To start a fresh increase, SOL must settle above the $128 and $145 resistance levels.