What it will take to get the Solana price out of the gutter
- Solana price edges near an ascending trendline, a breach could trigger a sellers’ frenzy.
- SOL price auctions at levels last offered in July 2021, as it is amongst the top 10 biggest crypto losers this week.
- Early evidence to invalidate the bearish trend is a breach above $43.50.
Solana price shows strong macro technicals. Defining the true market bottom will be more challenging as SOL price could continue falling to $17.
Solana price is macro bullish but could fall in the short term
Solana price currently hovers at $35.45 as the bears are in control of the price action to start the second trading week of July. The 3-day chart shows the bears are inching away from breaching the counter-trend rally’s ascending trendline. This is a serious endeavor as a break of the ascending trend line could catalyze a 50% decline targeting $17. CoinMarketCap’s Top 10 Crypto Ranking confounds the potential for more decline as the Solana Market Cap is now ranked 9th, having witnessed one of the largest losses in net-value this week.
SOL/USDT 3-Day Chart
Nonetheless, defining a true market bottom is what every analyst in the crypto space is focused on these days. Buying the current Solana price is unwarranted unless the bulls can breach the $43.50 level. In doing so, they could invalidate the bearish trend and trigger a bull run towards $55, resulting in a 58% increase from the current Solana price.
Author
Tony M.
FXStreet Contributor
Tony Montpeirous began investing in cryptocurrencies in 2017. His trading style incorporates Elliot Wave, Auction Market Theory, Fibonacci and price action as the cornerstone of his technical analysis.
