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Solana Price Analysis: SOL Struggles Below $86.79 Amidst Technical Bearishness

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Arslan is an expert live webinar speaker and derivatives analyst, specializing in cryptocurrencies, Forex, commodities, and indices. He holds an MBA in Finance and an MPhil in Behavioral Finance from the University of Gujrat (UOG), Pakistan. With many years of experience in cryptocurrency and Forex trading, Arslan currently focuses on cryptocurrency price predictions and forecasts. Arslan has previously worked with several brokerage firms’ Forex and cryptocurrency trading teams, managing client exposure risk. Arslan has worked at CAPEX.com and NatureForex.com, among others.
By Arslan Ali Butt
author
Arslan is an expert live webinar speaker and derivatives analyst, specializing in cryptocurrencies, Forex, commodities, and indices. He holds an MBA in Finance and an MPhil in Behavioral Finance from the University of Gujrat (UOG), Pakistan. With many years of experience in cryptocurrency and Forex trading, Arslan currently focuses on cryptocurrency price predictions and forecasts. Arslan has previously worked with several brokerage firms’ Forex and cryptocurrency trading teams, managing client exposure risk. Arslan has worked at CAPEX.com and NatureForex.com, among others.
on January 23, 2024 | 2 min
Updated on Jan 23, 2024
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  • Solana faces bearish pressure, struggling below key resistance at $86.79.
  • Technical indicators like RSI and MACD reinforce bearish trend below $92.59 EMA.
  • Violation of symmetrical triangle pattern in SOL/USD hints at potential downward movement.

Solana (SOL/USD) is currently demonstrating significant volatility in the cryptocurrency market. As of January 23, SOL is trading around $85.47, a decrease of 3.72% in the last 24 hours. The current market capitalization of Solana stands at approximately $37 billion, making it the 5th largest cryptocurrency, with a notable 24-hour trading volume exceeding $2.6 billion.

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SOL/USD Price Chart
SOL/USD Price Chart – Source: Tradingview

Solana Price Prediction: Technical Outlook

Analyzing the 4-hour chart, Solana’s pivot point is identified at $84.07, serving as a crucial indicator for short-term price movements. The immediate resistance levels are positioned at $93.83, $100.80, and $110.32. These levels represent significant thresholds that SOL needs to breach to indicate a potential bullish reversal. Conversely, support levels are observed at $77.57, $67.58, and $58.06, which might offer a cushion against further declines.

 

The technical indicators for Solana present a bearish outlook. The Relative Strength Index (RSI) sits at 33, suggesting that SOL is nearing the oversold territory but still leans towards a bearish sentiment. The Moving Average Convergence Divergence (MACD) is currently at -0.55, with the signal line at -2.63, indicating a potential continuation of the downward trend.

 

The 50-Day Exponential Moving Average (EMA) for Solana is at $92.59, and the current trading price is below this level, reinforcing the bearish sentiment in the market. Additionally, Solana has recently violated a symmetrical triangle pattern, a technical development that traditionally suggests a selling trend.

 

This bearish trend for SOL is influenced by various factors, including the broader market sentiment towards cryptocurrencies and specific developments within the Solana ecosystem. Despite the bearish outlook, Solana remains a significant player in the decentralized finance (DeFi) and smart contract platforms, known for its high throughput and low transaction costs.

 

In summary, Solana’s market position remains bearish under the current technical analysis, with the key resistance level to watch at $86.79. If SOL fails to break above this resistance, the likelihood of continued downward movement is high. However, given the volatile nature of the cryptocurrency market, traders and investors should closely monitor these technical indicators and market developments for any potential shifts in the trend.

Stay anchored for more in-depth analyses on Solana and other crypto movers at Daily-crypto.com!

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About Arslan Ali Butt
Arslan is an expert live webinar speaker and derivatives analyst, specializing in cryptocurrencies, Forex, commodities, and indices. He holds an MBA in Finance and an MPhil in Behavioral Finance from the University of Gujrat (UOG), Pakistan. With many years of experience in cryptocurrency and Forex trading, Arslan currently focuses on cryptocurrency price predictions and forecasts. Arslan has previously worked with several brokerage firms’ Forex and cryptocurrency trading teams, managing client exposure risk. Arslan has worked at CAPEX.com and NatureForex.com, among others.
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