Solana Price Prediction: SOL uptrend in jeopardy as sell signals emerge
|- Solana price rose 58% from the September 7 swing low and set up a new all-time high at $216.91.
- SOL could be looking at a minor correction as MRI flashed a sell signal on the 12-hour chart.
- A breakdown of the $160.81 support floor will invalidate the bullish thesis.
Solana price has been on an exponential rise over the past month, shattering all resistance levels and setting up new all-time highs. While this run-up is impressive,
Solana price at inflection point
Solana price rose a humungous 432% over the past 27 days, hitting a new all-time high at $216.91 on September 9. The flash crash of September 7 failed to budge its enthusiasm as SOL recovered the losses on the same day.
However, things are cooling off, and warnings are being converted to sell signals, indicating that a much-awaited retracement might be incoming.
The Momentum Reversal Indicator (MRI) flashed a sell signal in the form of a red ‘one’ on the 12-hour chart. This setup forecasts a one-to-four candlestick correction.
Therefore, going forward, investors can expect Solana price to kick-start a retracement. The immediate support level at $183.16 is the first barrier that the altcoin will encounter. Failing to hold above this floor will put $173.73 in bears’ sights. A retest of this support foothold will constitute nearly a 10% pullback.
This area is the best place for reversal of the trend and resumption of the exponential growth. If the buyers fail to make a comeback here, SOL could descend to $160.81.
SOL/USDT 12-hour chart
Over the past month or so, Solana price has disregarded many sell signals, and the bulls could also ignore the one that is currently suggesting that a correction might occur. However, this move will be confirmed if SOL can produce a decisive close above $205.64. This development will set up a higher high and ensure the start of a new uptrend, invalidating the bearish thesis.
If the bid orders continue to pile up, Solana price might tag the 162% Fibonacci extension level at $232.85.
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.