Solana (SOL) Struggles to Maintain Momentum: What’s Next for Investors?
SOL Faces Declining Upside Momentum in Market Trends
Bullish Outlook for SOL
SOL, a prominent cryptocurrency, has been navigating a downward trend channel since late May. Recently, it experienced a rapid bullish rebound from its low of $126.12 recorded on June 22, climbing to a peak of $147.99 by Wednesday. However, the momentum appears to be waning.
Should SOL manage to surpass the $147.99 mark, it could potentially test the upper resistance line of the downtrend channel at $152.61. A decisive break above this level, along with a daily close, might signal a shift out of the current downward trajectory. This could open the door to further gains, with targets identified between the 55- and 200-day simple moving averages (SMAs) ranging from $158.75 to $168.78. Notably, this area coincides with the high of $168.34 reached on June 11.
Looking further up, the resistance levels established in May, between $184.88 and $187.71, represent the next significant hurdle for SOL.
Bearish Outlook for SOL
As SOL’s upward momentum diminishes, a decline towards the support zone between $141.63 and $140.43 seems plausible.
If this support fails to hold, the cryptocurrency may drop to the next support range of $136.69 to $136.01. Additionally, the low of $126.12 from Sunday is closely aligned with the mid-April low of $123.51, marking a critical level to watch.
SOL Daily Candlestick Analysis
In summary, SOL’s current market behavior suggests a cautious approach as it navigates potential resistance and support levels. Investors should closely monitor these price points to gauge future movements in this cryptocurrency.
