Why the SOL Coin Price May Fall Below $200
Solana (SolBitcoin prices have continued to fall over the past few weeks as the overall cryptocurrency market has retreated. It is currently trading at $218.76, with prices down 8% over the past seven days.
Amid the ongoing sell-off and low buying interest, SOL is facing increasing pressure that could push its price below the critical $200 threshold in the near term. This analysis explains why this might be possible.
Solana sees bearish pressure surge
On the daily chart, Solana’s prices are It has been moving within a descending channel since November 23rd. This channel forms when an asset price moves between two parallel downward sloping trend lines, indicating a bearish trend. This indicates that the price is experiencing lower highs and lower lows, reflecting continued selling pressure.
The upper line of the channel represents resistance and the lower trend line represents support. In the case of SOL, it encountered resistance at the $230.17 price level and found support at the $200.60 price level.
and, SOL value decreases The past few weeks have resulted in it falling below the 20-day exponential moving average (EMA). This moving average measures the average price of an asset over the past 20 days, with more recent prices given greater weight.
When an asset’s price falls below its 20-day moving average, it signals a shift to bearish momentum, indicating that sellers are gaining control. After a breakout, the 20-day EMA often acts as resistance, as attempts to break above it may face selling pressure with traders viewing it as a barrier.
In the case of SOL, this barrier formed at $227, and its price has struggled to break above in the past six days.
SOL price Prediction: Why the $200 level must hold
Selling pressure may intensify Promote SOL The coin price is approaching the $200.60 support level. If the bulls fail to hold this area, the price could drop to $187, the highest level since early November.
However, Will demand rise?the SOL token price is likely to break above the 20-day moving average resistance at $227, break the upper trendline of the descending channel, and is expected to return to the all-time high of $264.
Disclaimer
conform to trust project Guide, this price analysis article is for informational purposes only and should not be considered financial or investment advice. BeInCrypto is committed to providing accurate and unbiased reporting, but market conditions are subject to change without notice. Always conduct your own research and consult a professional before making any financial decisions. Please note that our terms and Conditions, privacy policyand Disclaimer Updated.
