Solana price analysis: SOL/USD declines under $136

SOL

TL;DR Breakdown

  • Solana price analysis is bearish today.
  • Strong resistance present at $178.
  • Solana trading price is $135.

The Solana price analysis is bearish today as we expect the weary bulls to continue fighting for the market. On the other hand, the bears will enjoy their time of power and control. The SOL/USD price suddenly dropped today, on January 19, 2022, by experiencing two consecutive flash crashes. First, the price dropped from $142 to $137, and it dropped from $138 to $135. Solana has been down 3.26% in the last 24 hours, with a trading volume of $1,465,621,835.

SOL/USD 4-hour price analysis: Recent developments

The most recent developments in the Solana price analysis have led us to believe that the current state of the market appears to have entered a bearish movement, with the volatility expanding gradually. Moreover, the market seems to fluctuate frequently in the current trend. As a result, the upper limit of the Bollinger’s band rests at $151, serving as a strong resistance for SOL. Conversely, the lower limit of the Bollinger’s band is present at $133, serving as another resistance point rather than the support for SOL.

The SOL/USD price travels under the Moving Average curve; this signifies the market following a bearish movement. So we can see the market had closed its volatility in the past few days as the market rejected a bearish trend. However, with the bears coming in more vigorous than ever, it is only a matter of time before they will engulf the market.

Solana price analysis: SOL/USD declines under $136 1
SOL/USD 4-hour price chart source: TradingView

The Relative Strength Index (RSI) score is 35 making the cryptocurrency show severe devaluation signs, falling in the undervalued region. Furthermore, the RSI score decreases significantly, indicating intense selling activity and further devaluation. This may lead to a reversal and could be seen as a silver lining for Solana.

Solana Price Analysis for 24-hours: Bears maintain their stance

The Solana price analysis has experienced fluctuations in the last few days; as the market enters the bearish domain, it stops its volatility to maintain its consistency. With the market volatility still dormant, the bulls gain a definite possibility to return and capture the market. The same goes for the bears; they show promising potential and might even maintain their rule for a long time. As a result, the upper limit of the Bollinger’s band rests at $178, serving as the most substantial resistance for SOL. Contrariwise, the lower limit of the Bollinger’s band rests at $123, serving as the most vital support for SOL.

The SOL/USD price appears to be crossing under the Moving Average curve, pointing towards a bearish momentum. This means that the bears will likely preserve for the next few days; the bulls seem to have lost all strength as they struggle to maintain their position within the market.

Solana price analysis: SOL/USD declines under $136 2
SOL/USD 1-day price chart source: TradingView

The Relative Strength Index (RSI) score appears to be 34, showing the cryptocurrency significantly falls on the undervalued side. The RSI score follows a slight downwards path entering the undervalued region. The depreciation in the RSI score indicates firm selling activity, outweighing the buying activity.

Solana Price Analysis Conclusion

Solana price analysis remains bearish as the volatility remains dormant, resulting in a strong bearish movement in the next few days. However, the direction is not likely to change under normal circumstances. The bears have taken the market elegantly, and as the resistance declines, the bears will have every opportunity to get the price lower.

Disclaimer. The information provided is not trading advice. Cryptopolitan.com holds no liability for any investments made based on the information provided on this page. We strongly recommend independent research and/or consultation with a qualified professional before making any investment decisions.

Narmin

Narmin

Narmin is a passionate fintech writer and blockchain enthusiast backed by extensive experience in psychology and statistics.

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