- Solana price printed a classical evening star pattern on the 2-week chart.
- The most recent bearish engulfing decline wiped out six weeks of uptrend gains.
- Invalidation of the bearish thesis is a breach above $48.42.
Solana price shows a strong bearish influence on higher time frames. Key levels have been identified as the invalidation level is vital.
Solana price hints at more decline
Solana price accomplished an impressive 85% countertrend rally to a high of $48.42 during the summer. Unfortunately, the bears stepped back with supreme strength, as the bears managed to breach the ascending trend line that provided support throughout the summertime bull run. As a result of the breach, the bears sealed the deal forging a 2-week closing candle at $20.41.
Solana price currently auctions at $32.29 as the bulls are struggling to showcase a retaliation. The newfound bearish engulfing candle attributed to a 35% decline, which wiped out six weeks of an uptrend for the Solana price.
SOL/USD 2-week chart
In addition to the loss of funds, the bearish candle is the final piece to an evening-star pattern. The classical trading pattern can be used to forecast lower targets. If the technicals are correct, the bears are likely in full control and an additional plummet into the $29 barrier is now on the table.
Invalidation of the bearish thesis is a breach above the shooting star high at $48.42. Investors should also remember that a breach above the invalidation could potentially induce a rally towards $120, resulting in a 200% increase from the current Solana price.
In the following video, our analysts deep dive into the price action of Solana, analyzing key levels of interest in the market - FXStreet Team
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. The author will not be held responsible for information that is found at the end of links posted on this page.
If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.
FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted.
The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice.
Recommended Content
Editors’ Picks
Crypto Today: Bitcoin, Ethereum and XRP gain on Friday, meme coin NEIRO erases recent gains
Bitcoin steadies above $60,000 on Friday, gains over 1% on the day. Ethereum trades above $2,400, while BlackRock Spot Ethereum ETF sees a $17.8 million inflow on Thursday. XRP is back above $0.5300 as Ripple files cross-appeal in SEC lawsuit.
Cardano celebrates milestone: Hosts Argentina’s first legally enforceable smart contract
Cardano ambassador Mauro Andreoli recently announced Cardano’s milestone of Argentina’s first legally and judicially enforceable contract. The first loan agreement in Cardano under Argentine law involves a loan of 10,000 ADA tokens, currently valued at $3,380.
Top 3 Price Prediction Bitcoin, Ethereum, Ripple: BTC finds support around $60,000
Bitcoin is finding support around the key level, and a close below this level could signal a decline. Ethereum is approaching a critical resistance barrier; rejection from this level suggests a decline ahead. Meanwhile, Ripple is stuck in a range, reflecting a period of indecision among traders.
SEC sues Cumberland DRW for acting as an unregistered securities broker, Solana ETFs at risk
SEC sued crypto trading company Cumberland DRW for allegedly acting as an unregistered broker. Solana was among five cryptocurrencies the SEC alleged to be securities sold via the platform.
Bitcoin Weekly Forecast: Will BTC decline further?
Bitcoin’s (BTC) price fell over 6% at some point this week until Thursday, extending losses for a second consecutive week, as it faced rejection from a key resistance barrier.
Five best Forex brokers in 2024
VERIFIED Choosing the best Forex broker in 2024 requires careful consideration of certain essential factors. With the wide array of options available, it is crucial to find a broker that aligns with your trading style, experience level, and financial goals.