- Solana price started a decent increase from the $25 support against the US Dollar.
- The price is now trading above $30 and the 55 simple moving average (4-hours).
- There was a break above a major bearish trend line with resistance near $31.80 on the 4-hours chart of the SOL/USD pair (data feed from Coinbase).
- The pair must clear $38 and $40 to continue higher in the near term.
Solano price is struggling below $40 against the US Dollar, similar to bitcoin. SOL could start a strong increase if it clears the $40 resistance.
Solana (SOL) Price Analysis
SOL price remained in a bearish zone below the $50 and $40 levels. There was another decline and the price traded below the $30 support zone.
However, the bulls were active above the $25 zone. A low was formed near $26 and the price started a steady increase. There was a clear move above the $28 and $30 resistance levels. The price surged above the 50% Fib retracement level of the downward move from the $45 swing high to $26 low.
Besides, there was a break above a major bearish trend line with resistance near $31.80 on the 4-hours chart of the SOL/USD pair. The pair is now trading above $30 and the 55 simple moving average (4-hours).
It tested the 61.8% Fib retracement level of the downward move from the $45 swing high to $26 low. However, the price struggled to gain pace above $38. On the upside, an immediate resistance is near the $38.00 level. The next major resistance is near the $40 level.
Any more gains might send sol price towards the $50 resistance zone. The next major resistance sits near the $55 level. On the downside, an initial support is near the $32 level. The next key support is near the $30 level.
A downside break below the $30 support level might spark a sharp decline. In the stated case, the price may perhaps decline towards the $26 level. Any more losses might call for a test of $22.
Looking at the chart, solana price is clearly trading above $30 and the 55 simple moving average (4-hours). Overall, the price must clear $38 and $40 to start a fresh recovery wave in the near term.
Technical Indicators
4 hours MACD – The MACD is now gaining momentum in the bullish zone.
4 hours RSI (Relative Strength Index) – The RSI is now near the 55 level.
Key Support Levels – $32.00 and $30.00.
Key Resistance Levels – $38.00, $40.00 and $50.00.
