Disclaimer: The knowledge offered doesn’t represent monetary, funding, buying and selling, or different kinds of recommendation and is solely the author’s opinion

  • SOL noticed elevated improvement exercise, however traders remained pessimistic
  • A breakout above $11.49 will invalidate the bearish bias

Solana [SOL] has been in a downtrend since 14 December. After one other decline, the value fashioned a falling channel on the three-hour chart. At press time, SOL was buying and selling at $11.31, a 5% decline within the final 24 hours.  

There was additionally a inexperienced flare, exhibiting that the discounted worth of SOL is attracting some demand. Can the bulls use the momentum to their benefit?

Learn Solana’s [SOL] price prediction 2023-24

SOL flared inexperienced: was a worth reversal probably?

Supply: SOL/USDT on TradingView

Within the three-hour timeframe, a sample breakout from the falling channel. Nevertheless, the quick help on the 23.60% Fib stage didn’t cease the downtrend. The subsequent help stage at $11.08 offered stable floor.  

Technical indicators steered that SOL may fall decrease and retest the aforementioned help at $11.08. Specifically, the Relative Energy Index (RSI) fell into the oversold territory however confirmed an uptick. This steered that purchasing strain eased whereas promoting strain elevated.  

However, the uptick confirmed that some accumulation had taken place. Nevertheless, the bulls could solely have an opportunity if the RSI just isn’t rejected on the 30-mark. Traditionally, an RSI rejection at this stage offers sellers extra leverage.  

Additionally, the Directional Motion Index (DMI) confirmed that sellers had extra leverage at 35, nicely above the 25 mid-level, as patrons had been at 8.9 models. Subsequently, sellers may push SOL all the way down to $11.03. The extent can function a goal for short-selling. 

Nevertheless, a break above quick resistance on the 23.6% Fib stage ($11.41) would invalidate the above bearish forecast. Such a bounce would enable SOL to give attention to the 12-period exponential transferring common (EMA) of $11.65 or the 38.2% Fib stage of $11.62. 

How much SOLANA [SOL] can I get for $1?

SOL noticed an uptick in improvement exercise, however traders remained pessimistic

Source: Santiment

Supply: Santiment

In line with Santiment, SOL noticed an upswing in improvement exercise, however analysts stay pessimistic as weighted sentiment remained unchanged.

Nevertheless, buying and selling quantity elevated with the current worth enhance. This meant that purchasing strain elevated with the rise in buying and selling quantity.

As well as, buying and selling quantity continued to extend even after the value decline of SOL. Might the rise in buying and selling quantity and the RSI reaching the oversold space trigger a worth reversal?

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