Coinidol.com’s cryptocurrency price analysis reveals that Solana (SOL) is exhibiting sideways trading, remaining below the $20.50 mark.
The long-term price projection for Solana is pessimistic, indicating a bearish trend.
Since September 5th, the $20.50 resistance level has effectively impeded any upward momentum for Solana. Notably, on September 21st, Solana encountered resistance after surpassing the $19 support level. The cryptocurrency finds itself sandwiched between the moving average lines, with the $19 support steadfastly holding its ground. The evolution of the cryptocurrency’s price will hinge on whether it manages to breach these moving average lines.
Presently, the current support zone is indicating an oversold market condition. It is anticipated that buyers will emerge in this oversold zone, exerting upward pressure on the price. If these buyers succeed in maintaining the price above the 50-day moving average line, Solana is likely to resume its upward trajectory.
Analysis of Solana’s price indicators
Solana has entered the bearish territory on the Relative Strength Index (RSI) with a reading of 47. Trading between the moving average lines has confined the altcoin within a specific trading range, reflecting the current bearish trend. Notably, the cryptocurrency is presently positioned within the oversold zone of the market, registering a value below the daily stochastic threshold of 20.
What lies ahead in Solana’s future?
Solana finds itself in a constricted position, sandwiched between the moving average lines while maintaining a position above the crucial $19 support level. A break below either the $19 support or the 21-day moving average (MA) could expose the altcoin to potential downward pressure. Currently, the price’s range of movement is restricted, as it remains confined between these moving average lines.
As mentioned in our report on September 20th, the cryptocurrency’s price revisited the $19 peak level, a level last seen on September 15th. Regrettably, buyers were unable to sustain the price above this recent high.