Solana’s Price Forecast: Will It Sink to $15 Amid Bearish Trends?

Key Points:

• Solana struggling to maintain value above $20.
• Bearish trendlines and resistance levels.
• Possible support at $15, while $20 remains a key obstacle.

Solana is currently encountering bearish trends, struggling to maintain its value above $20 against the US Dollar. There is a possibility that SOL’s price could decline further, potentially reaching levels around $16.50 or even as low as $15.00.

Key indicators of SOL’s bearish performance include:

• SOL’s price is displaying bearish signals, particularly below the $20.00 and $20.50 thresholds against the US Dollar.
• The current price action places SOL below both the $20 mark and the 100 simple moving average (4 hours).
• A significant bearish trend line is forming, with resistance around $19.20 according to data from the SOL/USD pair’s 4-hour chart on Kraken.
• The potential for further downside exists if the price closes below the $17.80 support level.

Solana Price Experiences Downward Momentum

Over the recent days, Solana has made several attempts to surpass the $22.00 resistance level. However, these efforts were unsuccessful, and SOL couldn’t gather enough momentum to breach this key level.

Consequently, a new wave of bearish sentiment emerged, pushing SOL’s price below the $21.20 support, mirroring the trends in Bitcoin and Ethereum markets. Additionally, news regarding a potential sale of SOL by FTX has increased bearish pressure on the cryptocurrency. This bearish momentum led to a drop below the $20.00 support.

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Eventually, a support level was found near $17.80, with the price forming a low at approximately $17.78. Currently, SOL is consolidating its losses, trading below both $20 and the 100 simple moving average over a 4-hour period.

Furthermore, the 4-hour chart reveals the formation of a significant bearish trend line, with resistance around $19.20. On the upside, the immediate resistance level is situated near $18.50, which corresponds to the 23.6% Fibonacci retracement level of the downward movement from the $20.59 swing high to the $17.78 low.

The primary resistance lies near $19.20, which coincides with the trend line. Beyond that, the next key resistance can be found near the 76.4% Fibonacci retracement level, corresponding to the drop from the $20.59 swing high to the $17.78 low, situated at $20.00. A clear break above the $20.00 resistance level could propel the price toward the $21.20 resistance, and further gains might even push it to the $22 level.

Potential for Further Losses in SOL

Failure to breach the $19.20 resistance could result in continued downward movement for SOL. Initial support on the downside is situated near the $17.80 level.

The first major support level lies around $17.20. If the price closes below this critical support, it may lead to a decline toward the $16.50 support level. In such a scenario, there is a heightened risk of further losses, potentially testing the $15.00 support level in the near term.

Technical Indicators

• 4-Hour MACD – The MACD for SOL/USD is showing increased bearish momentum.
• 4-Hour RSI (Relative Strength Index) – The RSI for SOL/USD remains below the 50 level.
• Key Support Levels – $17.80, $17.20.
• Key Resistance Levels – $19.20, $20.00, $22.00.

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