- The SOL price is showing bearish signs below the $20 resistance against the US Dollar.
- The price is currently trading below $15 and the 100 simple moving average (4-hour).
- On the 4-hour chart of SOL/USD, there is a significant downward trend line forming with resistance near $15.25.
Solana gained bearish momentum and traded below $15. It is believed that the SOL price may struggle to recover above the $15 and $17.50 resistance levels.
Bears Gain Control in Solana
In the past few days, the price of Solana started a new decline from levels above $20. SOL gained bearish momentum and started trading below the $17.50 support.
Bears gained control and pushed the price below $15. The price is currently showing bearish signs below $15, similar to Bitcoin and Ethereum. A low was formed near $13.00 and the price is currently consolidating its losses.
SOL is currently trading below $15 and the 100 simple moving average (4-hour). On the 4-hour chart of SOL/USD, there is also a significant downward trend line forming with resistance near $15.25. On the upside, the first resistance level is near $15 and close to the trend line.
The trend line is near the 23.6% Fibonacci retracement level of the downward move from the $22.32 high to the $13.00 low. The next major resistance level is around $16.
4-Hour Price Chart of SOL/USD
If there is a close above the $17.50 level, the main resistance is currently near or close to the 50% Fibonacci retracement level of the downward move from the $22.32 high to the $13.00 low. A successful close above $17.50 could lead the price towards the $18.80 resistance zone. Further gains could send the price towards $20.
Will the Decline Continue in SOL Price?
If SOL fails to surpass the $17.50 resistance, it could continue to decline. The first support level on the downside is around $14.30.
The first major support level is around $13.00 and bears could gain strength. In this case, the price could drop towards the $12.00 support level. The next major support level is around $10.50.
Technical Indicators
- 4-Hour MACD – The MACD for SOL/USD is losing momentum in the bearish zone.
- 4-Hour RSI (Relative Strength Index) – The RSI for SOL/USD is below the 50 level.
- Important Support Levels – $14.30 and $13.00.
- Important Resistance Levels – $15.25, $17.50, and $18.80.
