Solana (SOL) Price Dip: Death Cross Looms

Solana (SOL) Price Under Pressure

Solana (SOL) has traded in a narrow range between $145.68 and $153.67 since April 23rd. However, increasing bearish pressure threatens to break this range, with key indicators flashing warning signs.

Death Cross Imminent for SOL

Solana's Moving Average Convergence Divergence (MACD) is nearing a "death cross." This bearish signal occurs when the MACD line crosses below the signal line, often preceding a sustained price decline. The MACD line (blue) is currently close to the signal line (orange), awaiting a trigger to push it below.

Adding to the bearish sentiment, Solana's Balance of Power (BoP) is negative (-0.12), indicating sellers control the market. This metric compares buying and selling pressure based on closing prices relative to the trading range.

Key Support Levels at Risk

If the bearish momentum continues, SOL could break below the $145.68 support level. A break below this could trigger a decline towards $142.32, and potentially even $133.94.

Potential for a Bullish Reversal?

However, a bullish scenario is possible. If buying pressure increases and surpasses the $153.67 resistance level, SOL could rally towards $171.50.

Disclaimer

This analysis is for informational purposes only and shouldn't be considered financial advice. Market conditions are volatile. Always conduct thorough research and consult with a financial professional before making investment decisions.

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