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Disclaimer: The information presented does not constitute financial, investment, trading or other advice and is solely the opinion of the author.
- SOL returned to a crucial bullish order block near USD 18.
- MobChart showed huge buy limit orders of $18 and $19.
Solana [SOL] broke the psychological level of USD 20, but the decline could ease as buying interest surged towards the USD 18 and USD 19 levels. Anyway, Bitcoin [BTC] was stuck in the range low at $25k at time of writing and could complicate a solid rebound for SOL.
How many Worth 1,10,100 SOL today?
Can Bulls Defend the $18-$19 Area?
Source: SOL/USDT on TradingView
The USD 20 level was a crucial support between April, May and the end of August. But in September it was breached. However, the plunge has reached a daily bullish order block (OB) of $18.3 – $19.5 (White).
If demand rises to the above bullish OB, SOL could target USD 22 or the 50% Fib level ($22.5) in the coming days.
Conversely, sellers could lower it to 23.6% Fib level ($17.4) or the next daily bullish OB of $15.6 – $16.65 (cyan).
Meanwhile, the Relative Strength Index (RSI) has hovered below 50 in recent days, showing muted but equal buying and selling pressure.
Similarly, the Chaikin Money Flow (CMF) fluctuated around zero, causing capital inflows to falter over the same period.
Huge buying interest between $18 and $19
Source: MobChart
On Mobchart, the real-time order tracking platform, there was significant buying interest between $18 and $19. Large buy limit orders were placed on the Binance Exchange at these levels, as shown by the green lines. So, the price could bounce off these levels.
Is your wallet green? look at the SOL Profit Calculator
On the sell side, large sell limit orders were placed at the $22 level within a four-hour window. The conclusion from above is that a price reversal could occur when the SOL moves closer to $22.
So if BTC defends the lowest range, SOL could aim for $22 or the 50% Fib level ($22.5). But bulls need to overcome the USD 20.2 (38.2% Fib level) hurdle to progress in such an uptick scenario.