Solana tumbled and fell towards $110. SOL price is now correcting losses above USD 140 and is facing hurdles near the USD 160 resistance zone.
- The SOL price gained bearish momentum and fell below $150 against the US dollar.
- The price is now trading below $160 and the 100 simple moving average (4 hours).
- A major bearish trendline is forming with resistance at $160 on the 4-hour chart of the SOL/USD pair (Kraken data source).
- The pair could continue to recover if it overcomes the USD 150 and USD 160 resistance levels.
Solana Price begins recovery
Solana price started a major decline below the USD 180 and USD 160 support levels. SOL fell by more than 20% and even fell below the USD 150 level. Finally, the bulls appeared around $110.
A low was formed at $115.04 and the price is now trying to make a recovery wave just like Bitcoin and Ethereum. There was a decent increase above the USD 125 and USD 132 levels. The price cleared the 23.6% Fib retracement level of the downward move from the $204 swing high to the $115 low.
Solana is now trading below $150 and the 100 simple moving average (4 hours). The immediate resistance is near the USD 150 level. The next major resistance is around the $160 level.
Source: SOLUSD on TradingView.com
There is also a major bearish trendline forming with resistance at $160 on the 4-hour chart of the SOL/USD pair. The trendline is near the 61.8% Fib retracement level of the downward move from the $204 swing high to the $115 low. A successful close above the USD 160 resistance could set the pace for another big move higher. The next major resistance is near $182. Any further gains could send the price towards the USD 200 level.
Are dips supported in SOL?
If SOL fails to break above the USD 160 resistance, it could trigger another decline. The initial downside support is near the USD 140 level.
The first major support is near the USD 132 level, below which the price could test USD 125. If there is a close below the USD 125 support, the price could fall towards the USD 115 support in the near term.
Technical indicators
4-hour MACD – The MACD for SOL/USD is gaining speed in the bullish zone.
4-hour RSI (Relative Strength Index) – The RSI for SOL/USD is below the 50 level.
Major support levels – USD 140 and USD 132.
Major resistance levels – $150, $160 and $182.
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