Solana bears dominate the market and thus, further downside in SOL is expected in the coming days. Crypto support is key at $37.7 and resistance is strong at $45.
Meanwhile, the bears are gaining traction and may dominate the market. The price of SOL has recently dropped from $42 to $38 and is getting pretty comfortable with that range.
The downside trend is especially notable in the $39 area as SOL remains bearish. Solana is down 5.52% overnight and is currently trading at $38.7 with a volume of $1,324,152,085. At press time, SOL has a market capitalization of $13,403,122,727 and is currently ranked 9th.th Largest coin by market cap.
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Solana inches towards back support line
Similar to bitcoin and ethereum, solana has exhibited a downward trend in price. Furthermore, the cryptocurrency appears to be less volatile. As a result, SOL/USD price is crawling towards the support line, which means a reversal that could potentially break the bearish momentum of the pair.
SOL prices have risen in the last few days. However, as volatility seems to be decreasing, the SOL price has shown minimal change.
The SOL/USD pair is crossing below the moving average curve showing a bearish streak. On the other hand, the market now looks to be trending downwards as it turns into a downside momentum.
The RSI price appears stable at 49. On the other hand, the RSI score is also showing a downward trend which indicates a decline in the market dynamics. Furthermore, the fall in the RSI score suggests that the selling activity has strengthened as compared to the buying activity.
Bears seem to be dominating the market. The SOL price shows bearish action with a strong tendency for the prices to decline further in the coming days. Therefore, if the bulls do not retaliate soon, the bears will snow under the market for a long time.
SOL total market cap at $12.8 billion on the daily chart | Source: TradingView.com
Can SOL Violate $42?
The only chance for the bears to dominate here is by breaking the price support. And this will be the time when the bulls will control the market dynamics. SOL has undoubtedly made an impressive streak last week which is an advantage for most day traders.
Now, if the SOL price turns down, there is a 16% chance of a rally towards the $44 price area. However, if the bulls cannot hold off against the support at the 21-day EMA, the uptrend could be an uncertain outlook.
As of press time, conditions are neutral. If SOL can breach $42, the bulls can rally and target $60 which could potentially propel the price of Solana by 66%.
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Featured image from Exodus Wallet, chart from TradingView.com