Key Takeaways:
- SOL price dived toward the $110 zone before the bulls emerged.
- It traded below a key rising channel with support at $170 on the daily chart.
- Solana is now recovering and might face hurdles near the $150 resistance zone.
NEW DELHI (CoinChapter.com) — Solana (SOL) is attempting a recovery wave from the $110 zone. However, the bears might remain active near the $150 and $160 levels.
Solana Price Faces Uphill Task
In the past few sessions, the crypto market saw a massive sell-off. Bitcoin, Ethereum, Solana, Dogecoin, PEPE, and other major cryptocurrencies declined 20%-25%. SOL gained bearish momentum after it traded below the $180 and $170 levels.
It traded below a key rising channel with support at $170 on the daily chart. The bears pushed the price below $150, the 50-day simple moving average (blue), and $120. Finally, the bulls appeared near $110. A low was formed at $109 and the price is now attempting a recovery wave.
Solana is up over 8% in the past two sessions and climbed above the $130 level. There was a move above the 23.6% Fib retracement level of the downward move from the $194.32 swing high to the $109.79 low.
If the price extends its recovery wave, it could face resistance near the $145 level. The first major resistance sits near the $150 level (the last major swing region). It now coincides with the 50-day simple moving average (blue) and the 50% Fib retracement level of the downward move from the $194.32 swing high to the $109.79 low.
A successful daily close above the $150 resistance and then a follow-up move above the $160 level could set the tone for another rally. The next major resistance is at $175, above which the bulls might aim for $188. Any more gains might send SOL toward the $200 level.
Recently in the volatile period and sell-off, the Solana network performed well with a max median fee and a max average fee of $0.0044 and $0.1770 respectively.
Another Decline In SOL?
Conversely, Solana might fail to clear the $150 resistance and start another decline. Immediate support is near the $132 level. The first major support sits near the $122 level.
A downside break and close below the $122 support could spark heavy bearish moves. In the stated case, the price might decline toward the $110 support level. The main uptrend support is now near the $100 level.
Overall, SOL price is attempting a recovery wave above the $135 zone. To continue higher, the bulls must clear the $150 and $160 resistance levels.
