On the daily chart, the price of SOLANA has recently breached the ascending support line, which often triggers a notable movement in the opposite direction when a long-term support level is lost. However, the sideways movement also reveals the presence of lower price rejection candles, indicating that buyers are actively defending the mentioned support levels.
Despite the recent significant decline in the overall crypto market, Solana's price has exhibited a sideways movement above a combined support level of $19.70 and a lower trendline forming a falling wedge pattern.
Over the past two days, bulls have experienced highly favourable conditions, witnessing a rapid and significant price increase. SOL has been steadily ascending against the dollar, establishing a strong foundation above $20.00. Today, the bulls have maintained control, surpassing the resistance level at $21.00 and achieving a gain of over 5.50%. Presently, SOL is trading above both $21.00 and the 200-hour simple moving average.
There is an initial resistance level at approximately $21.70, followed by a more significant resistance at around $22.50. If the price successfully surpasses this level, it could indicate a bullish trend and potentially lead to further increases towards the resistance levels of $23.50 and $24.00. Continued upward momentum may eventually drive the price to reach the $26.00 level.
However, if SOL fails to break through the $22.00 resistance level, it could encounter renewed selling pressure. In such a scenario, the initial support level is approximately $20.40, with the first significant support found at $19.70. Should the price fall below this level, it could give the bears an advantage, potentially leading to a decline towards the $18.80 support level in the coming days.
According to Price Analysis, the market capitalization of this SOL is $8,393,767,823. The 24-hour trading volume of the coin is around $365,743,857.
KEY LEVELS :
RESISTANCE LEVEL : $22.00-$23.00
SUPPORT LEVEL : $20.30-$19.50
How long will the correction persist? Can the bulls maintain their rally amidst the market correction? Is now the opportune time to make a purchase? We invite you to share your thoughts in the comment section below.
Disclaimer: Crypto is not regulated and can offer considerable risks. There may be no regulatory remedies available in the event of any losses resulting from price analysis. As a result, before engaging in any transactions involving crypto products, each investor must perform in-depth examination or seek independent advice.
