Solana (SOL) Faces Bearish Setup — Price Could Resume Decline If $175 Breaks

[Redator]

Solana started a fresh decline from the $208 zone. SOL price is now consolidating losses below $200 and might decline further below $182.

• SOL price started a fresh decline below $212 and $200 against the US Dollar.
• The price is now trading below $200 and the 100-hourly simple moving average.
• There was a break below a key rising channel with support at $188 on the hourly chart of the SOL/USD pair (data source from Kraken).
• The price could start another increase if the bulls defend $182 or $175.

Solana Price Dips Again

Solana price extended gains above $200 and $202, like Bitcoin and Ethereum. SOL even surpassed $210 before the bears appeared. A high was formed near $208 and the price dropped.

There was a move below $200 and $182. A low was formed at $174, and the price recently attempted a minor recovery wave. It climbed above the 50% Fib retracement level of the downward move from the $208 swing high to the $174 low.

However, the bears remained active below $195. They protected the 61.8% Fib retracement level of the downward move from the $208 swing high to the $174 low. SOL is again moving below $190. Besides, there was a break below a key rising channel with support at $188 on the hourly chart of the SOL/USD pair.

Solana is now trading below $188 and the 100-hourly simple moving average. If there is a recovery wave, the price could face resistance near the $188 level. The next major resistance is near the $195 level.

The main resistance could be $200. A successful close above the $200 resistance zone could set the pace for another steady increase. The next key resistance is $208. Any more gains might send the price toward the $215 level.

Downside Continuation In SOL?

If SOL fails to rise above the $195 resistance, it could continue to move down. Initial support on the downside is near the $182 zone. The first major support is near the $175 level.

A break below the $175 level might send the price toward the $165 support zone. If there is a close below the $165 support, the price could decline toward the $150 support in the near term.

Technical Indicators

Hourly MACD – The MACD for SOL/USD is gaining pace in the bearish zone.

Hourly Hours RSI (Relative Strength Index) – The RSI for SOL/USD is below the 50 level.

Major Support Levels – $182 and $175.

Major Resistance Levels – $195 and $200.