SOL Price Drops 20%, Eyes Critical Support Level
Solana (Sol) price has fallen 20% in the past seven days, bringing its market capitalization to $85 billion. Technical indicators such as the Ichimoku Cloud and DMI highlight strong bearish momentum, with SOL trading below key levels and facing heavy selling pressure.
If the current downtrend continues, SOL is likely to test the $159 and $147 support levels with a possible drop to $133, marking a 22.6% correction. However, if SOL recovers, it may challenge the $183 resistance, and if broken, would target a rebound to $203, raising hopes of a return of bullish momentum.
Solana Ichimoku Cloud Confirms Bearish Pattern
Ichimoku Cloud Atlas Solana Revealing a bearish outlook. Its price is well below Kumo, indicating strong downward momentum. The cloud itself is red and expanding, indicating a bearish trend and increasing resistance going forward.
Additionally, both the conversion line (blue) and the baseline (red) are trending downward, with the conversion line below the baseline, reinforcing the bearish pattern. This consistency highlights ongoing selling pressure with no immediate signs of reversal.
Additionally, the lag span (green) is lower than the price and cloud, further confirming the bearish bias. Instead, for any recovery to occur, SOL price Need to break through the clouds.
SOL’s current downtrend remains strong
Sol The DMI chart shows its ADX at 38.4, indicating a strong trend. ADX (Average Directional Index) measures the strength of a trend but does not specify its direction.
Values above 25 usually indicate a strong trend, while when ADX exceeds 40, it reflects very strong trend strength, whether the trend is bullish or bearish.
Directional indicators further highlight the bearish pressure on SOL. The positive index (+DI) fell sharply from 20.5 to 11.3, indicating that the bullish momentum has weakened significantly. Meanwhile, the Negative Index (-DI) surged from 26 to 38.3, underscoring the growing bearish dominance.
Together, these indicators confirm Sol Firmly in a downtrend, the strong ADX suggests that the downtrend is unlikely to reverse in the short term. Unless +DI shows signs of recovery or -DI declines, SOL price There may still be pressure in the short term.
SOL Price Prediction: Can Solana Fall Below $140 in January?
If the current downward trend continues, Solana Price A test of the next support at $159 is likely. Failure to hold this level could see the price fall further to $147, and a continued strong downtrend could take it to $133, a 22.6% retracement from current levels.
On the other hand, if SOL price If it manages to regain momentum, it could challenge the $183 resistance. A break above this level could pave the way for a rebound to $203, marking a significant recovery.
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.
