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SOL Technical Analysis: Bullish Reversal Expected Overnight

Analytics

cryptoknowmics.com 03 July 2022 20:48, UTC
  
Reading time: ~2 m

Key technical points:

  • SOL technical analysis is bearish today.
  • SOL price is down by barely 2% today.
  • The closest resistance is found at $44.77.

Past Performance of SOL

SOL, the native token of the Solana blockchain platform, is currently in a bearish trend. The price of SOL is down by barely 25% today, and it is trading at $32.23 at the time of writing. The closest resistance level for SOL is $44. This is a bearish pattern that suggests further price declines in the future. The descending triangle pattern is formed when the price forms lower highs and lower lows. The lower highs represent the bears’ inability to push the price higher, while the lower lows represent the bulls’ inability to push the price higher. This pattern often leads to a breakout to the downside.

Source- Tradingview

SOL Technical Analysis

The MACD is currently bearish and is moving further below the signal line. This is clearly suggesting that the bears are in control of the market momentum. Moroever, the RSI is currently trading at 34, which is well below 50, and therefore, this suggests that Solana is currently oversold, and a rally could be on the cards soon. The key resistance level to watch out for is $44.77. SOL is currently in a bearish trend as the price has formed lower highs and lower lows. The MACD is also bearish, and the RSI is oversold. This suggests that the bears are in control of the market momentum.

Upcoming Trend

The bearish trend will continue to accelerate as the price drops below $38, reaching its peak at $24. A rally could still develop from the resistance trendline breakout, reaching as much as $50. Traders must wait for a candle to break out on both sides before considering an entry above particular levels.


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