- Solana is down more than 5% in the last 24 hours alone.
- Several indicators and indicators hinted at a trend reversal.
Due to market conditions, the prices of most cryptocurrencies have fallen, Solana (SUN) This was no exception. The price drop has brought the price of SOL to a critical level that could determine the future path of the token.
Solana Accesses Support
The last 24 hours have seen the bears clearly in control. According to CoinMarketCapSOL is down more than 5% over the past day.
At the time of this writing, SOL was the fifth largest cryptocurrency, trading at $144.80, with a market capitalization of over $64 billion. The weighted sentiment of the token has fallen due to the price drop.
Therefore, bearish sentiment surrounding SOL dominated the market. Social volume also decreased, indicating a decline in the token’s popularity in the cryptocurrency market.
Source: Santiment
AMBCrypto’s analysis of the SOL chart shows that SOL is quickly approaching the critical support level of $142. 10 investors could hope for a bounce if Solana tests that support.
But falling below that could be disastrous.
Source: TradingView
Which direction is Solana headed?
AMBCrypto analyzed Santiment’s data to understand what to expect from SOL in the near term. We find that SOL’s open interest has fallen along with its price.
Whenever the indicator falls, it indicates that the ongoing price trend is unlikely to continue and suggests a trend reversal.
Source: Santiment
However, SOL’s funding rate was high, which seemed quite concerning for the token’s price action. In addition, Solana’s Long Short Ratio also decreased, indicating a bearish market advantage.
If these indicators are to be believed, the price of SOL could plummet below the $142 support.
Source: Coinglass
The relative strength index (RSI) also recorded a downward trend and maintained its downward trend. Nonetheless, some of the other indicators have provided much-needed relief.
For example, MACD has been bullish in the market. In addition, Solana’s Chaikin Money Flow (CMF) showed a sharp decline and then recorded an upward trend, suggesting the possibility of a price increase.
Source: TradingView
If SOL tests support near $142, investors could see SOL approaching resistance near $160 once again.
Realistic or not, the following is SOL’s BTC market cap hatchet
AMBCrypto is reported Previously, the token had already reached that level twice in the past week but faced rejection.
Worst case scenario: If SOL fails to test support, the price could plummet to the next support near $120-$125 within a few days.