- Solana price has lost 22% of its market value since mid-September.
- The Volume Profile indicator is still questionable as to who dominates the market.
- Invalidation of the bullish idea is contingent upon a few factors mentioned below.
Solana price could show a bounce soon. Key levels have been identified.
Solana price is a trader's chart
Solana price has day traders watching the bulls closely, attempting to reclaim grounds with the 8-day exponential moving average. The bullish retaliation comes after Solana's recent 22% decline since mid-September. On larger time frames, the Solana price is stair-stepping into support on the Relative Strength Index. Thus, this is a crucial time for the centralized smart contract token and keeping a close eye is justified.
Solana price currently auctions at $32. The downrtrend's power is still up for debate as the Volume Profile Indicator shows a sparse reading. If the bulls can hurdle the 21-day simple moving average at $33.14, then a more confident countertrend trade idea will present itself.
SOL USDT 2-Day Chart
A daily close above $33.14 should give sidelined bulls permission to the 38.2% Fibonacci retracement level (based on the previous swing high to swing low) marked at $35.95.=
Invalidation of the bullish idea is contingent upon the June 14 swing low at $25.75 holding up. If the bears were to breach this level, a further decline targeting a previous congestion zone near $20 could result in a 27% decrease 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.