Solana failed to clear the $225 counter and gains were cut. The price of SOL is now below $200 and showing some bearish signs.
- The price of SOL started a fresh decline after failing to stay above $220 against the US Dollar.
- The price is now trading below $200 and the 100-hourly simple moving average.
- A link bearish trend line is forming with resistance at $204 on the hourly chart of the pair SOL/USD (data source from Kraken).
- Both could start a new rally if the bulls clear the $205 area.
The price of Solana is going down again
Solana's price struggled to clear the $220-$225 zone and started a fresh decline, as Bitcoin and Ethereum. There was a move below the $212 and $205 support levels.
The price was even lower than the $200 handle. A low was formed at $196.73, and the price is now consolidating losses below the 23.6% Fib level of the move down from the $223 swing high to the $196 low.
Solana is now trading below $200 and the 100-hourly simple moving average. There is also a connecting bearish trend line forming with resistance at $204 on the hourly chart of the SOL/USD pair. On the upside, the price is facing resistance near the $204 level.
The next major resistance is near the $210 level or the 50% Fib level of the move down from the $223 high to $196 low. The top rate could be $213. A successful close above the $213 resistance level could set the pace for another sustained rally. The next major resistance is $225. Any other benefits could push the price to $240.
Another decline in SOL?
If SOL does not rise above the $205 resistance, it could start another decline. Initial support on the downside is near the $196 level. The first major support is near the $188 level.
A break below the $180 level could send the price towards the $175 range. If there is a close below the $175 support, the price could decline towards the $162 support soon.
Technical Indicators
Hourly MACD – The MACD for SOL/USD is gaining momentum in the bearish zone.
Hourly RSI (Relative Strength Index) – The RSI for SOL/USD is below the 50 level.
Key Support Levels – $196 and $188.
Key Resistance Levels – $205 and $210.
