Solana (SOL) Shows Signs Of Rebound – Will Bears Step In Again Soon?

Solana started a fresh decline below the $225 zone. SOL price is now attempting to recover from $192 and faces hurdles near $215.

SOL price started a fresh decline below $225 and $220 against the US Dollar.
The price is now trading above $200 and the 100-hourly simple moving average.
There was a break above a key bearish trend line with resistance at $200 on the hourly chart of the SOL/USD pair (data source from Kraken).
The price could start another decline if it stays below $215 and $220.

Solana Price Dips Again

Solana price failed to stay above $220 and started a fresh decline, like Bitcoin and Ethereum. SOL traded below the $212 and $205 support levels to enter a bearish zone.

The bears even pushed the price below $200 and the 100-hourly simple moving average. A low was formed at $191 and the price recently started a recovery wave above the 23.6% Fib retracement level of the downward move from the $242 swing high to the $191 low.

Besides, there was a break above a key bearish trend line with resistance at $200 on the hourly chart of the SOL/USD pair. Solana is now trading above $200 and the 100-hourly simple moving average.

If there are more gains, the price could face resistance near the $212 level. The next major resistance is near the $215 level or the 50% Fib retracement level of the downward move from the $242 swing high to the $191 low. The main resistance could be $220.

A successful close above the $220 resistance zone could set the pace for another steady increase. The next key resistance is $230. Any more gains might send the price toward the $242 level.

Another Decline In SOL?

If SOL fails to rise above the $215 resistance, it could continue to move down. Initial support on the downside is near the $202 zone. The first major support is near the $200 level.

A break below the $200 level might send the price toward the $192 support zone. If there is a close below the $192 support, the price could decline toward the $180 support in the near term.

Technical Indicators

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

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

Major Support Levels – $202 and $200.

Major Resistance Levels – $215 and $220.

Source link