While most major altcoins dropped to their four-month low, Solana remains in a bullish zone as the price trades far above its previous bottom. The price is still up 7% amidst the latest bearish actions.
Following a break in bearish actions over the past weeks, Solana also found support and bounce back above the key $20 level that held bearish action for two months. The recovery saw the price through to the high of $21.4 on Tuesday before it halted buying.
The price later dropped from that high yesterday following the latest drop in the global market cap. The sellers have reiterated actions today as they aim to pull lower in the next few days. Although, selling volume is currently low.
For the past few days now, SOL has been in the middle of consolidation, preparing for another drawdown. If that happens, the bears will have to overcome the mentioned key level before they can extend pressure lower.
Last week’s support may also act as another obstacle for the bears on the way down. If these mentioned support areas pose a threat to the bears in their quest, selling pressure could suspend for the buyers to take charge. The $27 resistance level remains a key breakpoint for a mid-term bullish rally.
SOL’s Key Level To Watch
As SOL’s price remains trapped in a tight range, passing through the $20 support level could pave the way for selling towards the $18.7 level – marked as last week’s support. If the support flips, the $17 level would be the next sell target before slipping to March’s low of $16.
On the other hand, if the price increases above the immediate resistance level of $21.5, the next buying target to watch is $23.1, followed by $24 and April’s high of $26.
Key Resistance Levels: $21.5, $23.1, $24
Key Support Levels: $20, $18.7, $17
- Spot Price: $20.6
- Trend: Bullish
- Volatility: Moderate
Disclosure: This is not trading or investment advice. Always do your research before buying any cryptocurrency or investing in any service.
Image Source: ximagination/123RF // Image Effects by Colorcinch
