Cryptocurrency Price Analysis: Solana (SOL)
The price of Solana (SOL) has been experiencing a decline since July 30 and is currently trapped between moving average lines.
Solana Long-Term Price Forecast: Bearish
The cryptocurrency fell to a low of $23 before starting to bounce back between the moving average lines. Based on the price indications, Solana is expected to fall even further and reach a low of $20.
Now that the 50-day line SMA is above the descending momentum, it brings more stability. However, the price will resume its current downtrend if it falls below the 50-day line SMA. Doji candlesticks are a characteristic feature of altcoin price movement. The expected decline was stopped by the 50-day line SMA. Solana’s price develops when the moving average lines cross.
Solana Price Indicator Analysis
Solana’s decline has reached a Relative Strength Index of 48 for the period 14. The altcoin will likely continue to fall as it approaches the bearish trend zone. As the cryptocurrency is trapped between the moving average lines, a sideways movement is required. The altcoin is gaining strength as it is above the 75 level of the daily stochastic. However, once the altcoin reaches the overbought area of the market, it is expected to fall.
What is the Next Move for Solana?
Solana is currently reversing to the upside, leading to an overbought region of the market. As a result, the altcoin is expected to fall and continue its sideways movement where it will be rejected at the recent high. In the long run, the altcoin is predicted to fall below the 50-day simple moving average. If Solana breaks out of the trading range, it will likely reach a low of $20.
On July 31, 2023, cryptocurrency analytics specialists of Coinidol.com stated that the altcoin rallied on July 26, breaking through the 21-day line SMA. However, the upper resistance of $26 has stopped Solana’s ability to go higher.
