Solana price presents day trading opportunities in questionable downtrend

  • Solana’s price has lost 22% of its market value since mid-September.
  • The volume profile indicator is still uncertain as to who dominates the market.
  • The invalidation of the bullish idea depends on a few factors mentioned below.

Solana’s price may rebound soon. Key levels have been identified.

Solana price is a trader’s chart

Solana’s price has day traders watching the bulls closely, attempting to reclaim ground with the 8-day exponential moving average. The bullish retaliation comes after Solana’s recent 22% decline since mid-September. Over longer timeframes, Solana price moves towards the support of the relative strength index. This is therefore a pivotal moment for the centralized smart contract token and one that is warranted to keep a close eye on.

The Solana Prize is currently auctioned at $32. The strength of the downtrend is still up for debate, as the volume profile indicator is showing a sparse reading. If the bulls can break through the 21-day simple moving average at $33.14, then a more confident countertrend trade idea will present itself.

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SOL USDT 2-Day Chart

A daily close above $33.14 should give sidelined traders permission to reach the 38.2% Fibonacci retracement level (based on the previous swing low) marked at 35, $95.

Invalidation of the bullish idea hinges on whether the June 14th low at $25.75 holds. Should the bears break through this level, a further decline targeting a previous congestion zone near $20 could result in a 27% drop from Solana’s current price.

In the following video, our analysts dive into Solana’s price action, analyzing key levels of market interest – Netcost-Security Team

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