Here’s How Solana Coin May Escape This Sideways Trend; Mark These Levels Now

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The recent sell-off in the crypto market triggered a new bear cycle in Solana coin price within the ongoing consolidation. As a result, the prices witnessed a V-top reversal from the $26.8 resistance and tumbled 16.3% down to retest the local support of $22.3. However, interested traders looking for entry opportunities should wait for a breakout attempt from the extreme levels of this range.

Key Points

Until the Solana coin remains within the $26.8 and $20 levels, the ongoing consolidation will cont
Considering the prior bullish trend, the SOL price is more likely to break the $26.8 resistance and prolong the bull trend higher.
The 24-hour trading volume in the Solana coin is $501.1 Million, indicating a 22.7% gain.

Source-Tradingview

The Solana coin price started the ongoing sideways trend in January’s fourth week as it was expected to stabilize the aggressive buying witnessed early. Such a consolidation phase is excellent for coin prices to check stability at a higher price and replenish the bullish momentum for further rally.

The coin price resonated between the $26.8 and $20 level for one and a half months, creating a narrow range formation. The price has tested the aforementioned levels several times, indicating the market participants are actively responding to this range.

Also Read: Upcoming Solana NFT Projects 2023

Furthermore, the current bear cycle within the pattern has plunged the prices to a mid-support of $22.3. However, today, the Solana coin is 3% down, and if the selling pressure persists, the prices could revisit the $20 floor.

Furthermore, a breakdown below the $20 support would intensify the selling pressure and encourage the price to decline to $17.75 or $15.3.

On a contrary note, a bullish breakout from $26.8 will offer buyers strong support to resume the bullish trend.

Technical Indicator

RSI: An uptrend in the RSI slope wavering around the midline indicates the neutral stance among market participants.

Bolinger band: This indicator’s upper and lower bands aligned with the aforementioned range’s levels indicate the SOL price has stabilized well at the current price level.