Solana is attempting a fresh increase from the $ 92 zone. SOL price could gain bullish momentum if it manages to clear the $ 100 and $ 104 resistance levels.
- SOL price started a fresh decline from the $ 106 resistance against the US Dollar.
- The price is now trading above $ 92 and the 100 simple moving average (4 hours).
- There was a break below a key bullish trend line with support at $ 100 on the 4-hour chart of the SOL/USD pair (data source from Kraken).
- The pair could start another increase if it surpasses the $ 100 and $ 104 levels.
Solana Price Faces Key Test
Solana price started a fresh decline after it struggled to clear the $ 106 level like Bitcoin at $ 43,800. There was a clear move below the $ 102 and $ 100 support levels.
Besides, there was a break below a key bullish trend line with support at $ 100 on the 4-hour chart of the SOL/USD pair. However, the bulls were active near the $ 92 level and the 100 simple moving average (4 hours). The price is now attempting a fresh increase above the $ 95 level.
The price retested the $ 100 zone and the 50% Fib retracement level of the downward move from the $ 106.41 swing high to the $ 92.95 low. SOL is now trading above $ 95 and the 100 simple moving average (4 hours).
Source: SOLUSD on TradingView.com
Immediate resistance is near the $ 100 level. The next major resistance is near the $ 104 level or the 76.4% Fib retracement level of the downward move from the $ 106.41 swing high to the $ 92.95 low. A successful close above the $ 104 resistance could set the pace for another major increase. The next key resistance is near $ 112. Any more gains might send the price toward the $ 120 level.
Another Decline in SOL?
If SOL fails to rally above the $ 100 resistance, it could start another decline. Initial support on the downside is near the $ 92 level and the 100 simple moving average (4 hours).
The first major support is near the $ 90 level, below which the price could test $ 85. If there is a close below the $ 85 support, the price could decline toward the $ 78 support in the near term.
Technical Indicators
4-Hours MACD – The MACD for SOL/USD is gaining pace in the bullish zone.
4-Hours RSI (Relative Strength Index) – The RSI for SOL/USD is above the 50 level.
Major Support Levels – $ 92, and $ 92.
Major Resistance Levels – $ 100, $ 104, and $ 112.
