Solana failed to stay above $90 and corrected gains. The SOL price is still above $85 and could attempt another increase in the near term.
- The SOL price started a downward correction below $90 against the US dollar.
- The price is now trading above $85 and the 100-hour moving average.
- A rising channel is forming with resistance at $88 on the hourly chart of the SOL/USD pair (Kraken data source).
- The pair could extend losses if it falls below the $85 zone.
Solana price starts downward correction
Solana price failed to surpass $92 and started a downward correction, just like Bitcoin and Ethereum. SOL fell below USD 90 and USD 88 and entered a bearish zone for the short term.
There was a move below the 50% Fib retracement level of the upwave from the $76.54 swing low to the $91.20 high. However, the bulls were active above the USD 82 support. The price is back above $85. A rising channel is also forming with resistance at $88 on the hourly chart of the SOL/USD pair.
Solana is now trading above $85 and the 100-hour moving average. On the upside, the price is facing resistance around the $88 level. The next major resistance is around the $90 level. The main resistance could be at $92. A successful close above the $92 resistance zone could set the pace for another steady rise. The next major resistance is $95. Any further gains could send the price towards the USD 102 level.
Another drop in the SOL?
If SOL fails to rise above the USD 92 resistance, it could trigger another decline. The initial downside support is near the $85 zone. The first major support is near the $82 level or the 61.8% Fib retracement level of the upward wave from the $76.54 swing low to the $91.20 high.
A break below the $82 level could send the price towards the $76.50 support zone. If there is a close below the USD 76.50 support, the price could fall towards the USD 72 support in the near term.
Technical indicators
Hourly MACD – The MACD for SOL/USD is gaining speed in the bullish zone.
Hourly RSI (Relative Strength Index) – The RSI for SOL/USD is above the 50 level.
Major support levels – USD 85 and USD 82.
Major resistance levels – $88 and $92.