Solana Price Analysis: SOL Holds Above Critical Support, is Reversal in Play?

Key Support levels: $187, $170

Key Resistance Level: $204

SOL found support at the $187 level which provided some hope for the downtrend. SOL may need to wait longer to break above the current resistance of $204, which is currently at 204.

Since the cryptocurrency reached its all-time peak at $260, it has been charting lower lows than highs. This puts SOL in a clear downtrend. The bears will continue to be in control until this trend is reversed.

Chart by TradingView

Technical Indicators

Trading Volume: This volume peaked in the December 4th crash and has been declining every day since. This is a positive sign for bulls, as it may be a signal that they have the opportunity to regain control from bears.

RSI: Daily RSI continues to fall. The RSI may attempt a reversal if bulls can stop the downtrend at its current support level. The RSI has made higher lows over the past four hours, which is good news for bulls.

MACD: MACD is still bearish for the daily timeframe. The histogram is making lower lows, while the moving averages are increasing. This signal is bearish and a reversal appears far away.

Chart by TradingView

Bias

As long as Solana does not stop the downtrend, the bias will remain bearish

SOL Price Predictions for the Short-Term

Solana experienced a poor November month and a terrible start to December due to the crash. Price action is clearly in a downtrend and all attempts to stop it have failed so far. If SOL is able to hold above $187 as the key support, it could enter a consolidation that would turn the bias towards neutral.

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Marla Brooks

Marla Brooks – Financial Analysis My name is Marla Brooks, and I am the mainstream behind the”observednews.com”  for the powerful and most delicate insights into the latest activities in the financial analysis category. I started my journey as an independent financial consultant. I had approximately nine years of experience in this field. I am free soul so; my passion for exploring the world has taken me to the nations across the globe and given me the chance to report for a portion of the best news associations. Currently, I am a full-time editor as experienced in finance and started to use my abilities.

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