Solana cut gains and traded below the $175 support area. The price of SOL is now approaching the $165 support and may bounce back in the near term.
- The price of SOL started to decline again after it struggled near the $185 area against the US Dollar.
- The price is now trading below $172 and the 100 hourly simple moving average.
- There is an important bearish line running through the $172 resistance on the hourly chart of the SOL/USD pair (data source from Kraken).
- The pair can start an upside move if it stays above the $165 and $162 support levels.
Solana Price Holds Support
Solana price struggled to clear the $185 resistance and started new lows like Bitcoin and Ethereum. There was a decline below the $180 and $175 support levels.
Bears even pushed the price below $172 and tested the $165 support area. A low was formed at $165 and the price now includes losses below the 23.6% Fib retracement level of the downside from the $183 swing high to the $165 low.
Solana is now trading below $172 and the 100 hourly simple moving average. On the other hand, the price is facing resistance near the $170 level. The next major resistance is near the $172 level. There is also a key bearish line forming with resistance at $172 on the SOL/USD hourly chart.
The main resistance would be $175 or the 50% Fib retracement level of the downside from the $183 swing high to the $165 low. A successful close above the $175 resistance level could halt the pace of further upside. The next key resistance is $182. Any further gains could send the price to the $185 level.
More Losses in SOL?
If SOL fails to rise above the $170 resistance, it could continue to decline. The first support on the downside is near the $165 level. The first major support is near the $162 level.
A break below the $162 level would send the price to the $150 area. If there is a close below the $150 support, the price may drop to the $135 support in the near term.
Technical References
Hourly MACD – The SOL/USD MACD is gaining momentum in bearish territory.
Hourly RSI (Relative Strength Index) – RSI for SOL/USD is below the 50 level.
Major Support Levels – $165 and $162.
Major Resistance Levels – $170 and $172.
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