Solana (SOL) Takes Hit – Is This Start of Bearish Move Toward $200?

Solana started a fresh decline from the $250 zone. SOL price is now showing bearish signs and might even decline toward the $200 support.

• SOL price started a fresh decline below $240 and $230 against the US Dollar.
• The price is now trading below $220 and the 100-hourly simple moving average.
• There is a key bearish trend line forming with resistance at $222 on the hourly chart of the SOL/USD pair (data source from Kraken).
• The price could extend losses if it stays below $215 and $222.

Solana Price Dips Again

Solana price failed to stay above $250 and started a fresh decline, like Bitcoin and Ethereum. SOL traded below the $240 and $232 support levels to enter a bearish zone.

The bears even pushed the price below $220 and the 100-hourly simple moving average. A low was formed at $207 and the price is now consolidating losses below the 23.6% Fib retracement level of the downward move from the $254 swing high to the $207 low.

Solana is now trading below $220 and the 100-hourly simple moving average. Besides, there is a key bearish trend line forming with resistance at $222 on the hourly chart of the SOL/USD pair.

If there is a recovery wave, the price could face resistance near the $215 level. The next major resistance is near the $220 level or the trend line. The main resistance could be $230 or the 50% Fib retracement level of the downward move from the $254 swing high to the $207 low.

A successful close above the $230 resistance zone could set the pace for another steady increase. The next key resistance is $242. Any more gains might send the price toward the $250 level.

More Losses In SOL?

If SOL fails to rise above the $222 resistance, it could continue to move down. Initial support on the downside is near the $207 zone. The first major support is near the $202 level.

A break below the $202 level might send the price toward the $200 support zone. If there is a close below the $200 support, the price could decline toward the $184 support in the near term.

Technical Indicators

Hourly MACD – The MACD for SOL/USD is gaining pace in the bearish zone.

Hourly Hours RSI (Relative Strength Index) – The RSI for SOL/USD is below the 50 level.

Major Support Levels – $202 and $200.

Major Resistance Levels – $215 and $222.