- Solana worth is suspended between the weekly help degree at $24.52 and the weekly resistance degree at $47.43.
- A 20% crash appears possible; a breakdown might see SOL revisit the $19 foothold.
- A weekly candlestick shut above $47.43 will invalidate the bearish thesis.
Solana worth has been on a freefall since April 4 and has produced not one however 9 weekly consecutive down candlesticks. With the crypto market wanting as bearish as ever, traders can anticipate extra bleeding.
Solana worth continues to nosedive
Solana worth has dropped roughly 88% from its all-time excessive at $261.51. This downswing was a results of a number of causes with the latest being the LUNA crash. Up to now, SOL has crashed 20% during the last week and is presently buying and selling between the $47.43 resistance barrier and the $24.52 help degree.
As a result of lack of quick footholds, the probability of an additional crash in Solana worth is excessive. Buyers can anticipate a 20% drop to $24.52. Whereas this barrier is a big one, market makers or good cash would possibly push SOL to $19 to gather the promote stops.
In complete, Solana worth might shed 36% from the weekly open at $30.53 earlier than consumers step in and scoop the altcoin at a discount.
SOL/USDT 1-week chart
Whereas issues are wanting extraordinarily bearish for the crypto market, together with Solana worth, a resurgence of shopping for strain might alleviate the promoting strain. If SOL produces a weekly candlestick shut above $47.43, it’s going to denote a bullish engulfing transfer and invalidate the bearish thesis.
In such a case, Solana worth would possibly try a minor rally to retest the $77.66 resistance barrier.