Solana faces resistance at key levels, but a potential rebound from support could trigger a rally toward previous highs.
The Solana (SOL) price has experienced a sharp decline of 6.0% over the past 24 hours, falling from about $142.92 to $133.62. The sudden drop came despite strong trading volumes, with over $5.47 billion exchanged in the last 24 hours, reflecting heightened market activity. This downward movement could be attributable to broader risk aversion, as traders re-evaluate their positions amid global economic and geopolitical tensions.
While the 24-hour performance shows a significant downturn, Solana’s longer-term performance remains relatively stronger. Over the past 30 days, the price has risen by 5.9%.
If the $133 level holds as support, Solana could see a bounce; if not, further declines may test the next support zone. What’s next for SOL?
Where’s Solana Headed?
On the technical standpoint, the Parabolic SAR indicator currently shows dots positioned just above the price action at $148.10. This suggests that the price may be losing momentum, and the trend could shift from bullish to bearish if the dots continue to align above the price.
The recent 2.9% drop in Solana’s price, combined with Parabolic SAR’s position, reinforces the possibility of further downside if the support level at $126 fails to hold. If the price breaks below key levels, the SAR dots could continue to guide the market into a downward trend, suggesting a stronger bearish momentum ahead.
Additionally, the Awesome Oscillator, currently at 9.24, showed positive momentum last week, but is gradually declining. This reduction in momentum suggests that buying pressure is weakening, and the market may not have the strength to push higher.
As the AO moves closer to the zero line, it signals a potential shift in market sentiment. A negative reading or a further decline in the AO could further support the bearish outlook.
Can Solana Retest $145?
Elsewhere, crypto analyst BitGuru noted that Solana has recently swept liquidity into a strong demand zone, placed just above $133, following a clean market structure breakdown. According to the analyst, SOL is now attempting to rebound from this support area, which has previously acted as a base for upside continuation.
If buyers manage to defend this level, BitGuru suggests the setup could trigger a sharp relief rally, potentially pushing price back toward prior highs. Per the analyst’s chart, if the rebound holds, Solana could retest the $145 area in the coming days.
DisClamier: This content is informational and should not be considered financial advice. The views expressed in this article may include the author's personal opinions and do not reflect The Crypto Basic opinion. Readers are encouraged to do thorough research before making any investment decisions. The Crypto Basic is not responsible for any financial losses.
