Bitrabo Editorial
The Solana cryptocurrency has experienced a major drop in its price, falling by approximately 42% last week. However, the digital token managed to stay resilient and closed above the important and final Golden Ratio support level at $15 by the end of the week.
If the Golden Ratio support level is broken, the price could fall even further, potentially by 27.7% to the next significant support level situated between $8 and $11. Moreover, the MACD indicator has been signaling further bearish price action for several weeks. Though there is still a chance that Solana’s upward movement remains intact if it manages to make a comeback from its current position.
Indicators on the Daily Chart and 4-Hour Chart Paint a Bearish Picture
The daily chart for Solana reveals a ‘Death Cross’ formation, indicating a potentially bearish-trending market in the short to medium term. The MACD is showing a downward momentum in a bearish pattern, and the RSI is oversold but doesn’t hint at a bullish divergence yet. On the 4-hour chart, a ‘Death Cross’ formation is also present, suggesting further price declines may be ahead. However, the MACD lines have crossed, indicating some bullish momentum, and the RSI remains within a neutral range.
Solana’s Critical Support Level Against BTC
Solana’s price has broken the Golden Ratio support at around 0.00075 BTC, and it has now reached critical support between approximately 0.00048 BTC and 0.0006 BTC. If this support is also broken, Solana could plummet to around 0.000365 BTC and 0.00042 BTC. The MACD lines on the weekly chart are also about to turn bearish, and the MACD has been ticking lower in a bearish manner since last week.
Although the Solana price is showing a bearish trend in general, it still has a glimmer of hope that its price will bounce back if it manages to stay above the Golden Ratio level of approximately $15. Nonetheless, it is advisable to conduct personal research and seek professional advice before making any financial decisions.
Disclaimer
This price analysis article is purely for informational purposes only and should not be treated as investment or financial advice. The market conditions mentioned above are subject to change and may not remain accurate in the future. As such, conduct in-depth research and seek the counsel of financial professionals before making any financial decisions.