Solana
Today’s Solana price must survive $160 support to return to $200
- Solana’s network activity has increased and has a double impact
- SOL reversed the $160 and $128 consolidation ranges, moving closer to the support zone.
- Bulls Fight to Pull SOL to $200
- The price action shows a neutral to bullish trend if the price can hold above $160, with more red candles expected if that fails.
Solana the multifunctional blockchain of Defi services, has seen increased network activity. Blockchain ranks 2nd with a daily active user (DAU) count of 1.6 million, the first being the NEAR protocol.
Despite the increase in network activity, the price is down –4.2% in 7 days, due to a lack of correlation between network performance and price. This is not the first time with the Solana network, it happened on April 11 when the daily transaction increased significantly, but the price refused to continue and fell to 20%.
The current network performance is an important indicator to decide the upcoming trend.
Solana(SOL) Technical Analysis
Solana(SOL) started the month with sideways trading, breaking the $160 consolidation on May 15, followed by an uptrend and correction to $168.3 today. The price action was unable to break out of the bearish zone and is now approaching the $160 zone with the 24-hour trading volume down to 15%.
At press time, SOL/USDT is changing hands at $163.87, trading above all major SMAs (moving averages) is giving strength to the bulls, along with other oscillators, and the move volatility is neutral.
The trend for Solana is bullish but declining. The RSI reading at 40.73 is in a downtrend, indicating that price accumulation will begin soon. The MACD is still above the MACD line, consolidating a strong hold near support zones.
Trade Setup: Calm to join the storm
With immediate resistance at $183 and support levels at $160 and $147, the price action is expected to turn neutral for some time. Traders have a buying opportunity in the upper zone at $150, SL at $147, and TP at $185.
The pullback caused a descending channel to form, creating lower buying, an opportunity for traders to enter. Price might break out soon, look for the nearest support zone and wait for the uptrend to resume.