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Will Buyers ComeTo The Rescue; Solana Price Falls 22.28%

  • Solana price declined 22.28% during the weekly trading session.
  • Moving averages are showing strong opposing signals in the current phase.
  • SOL 24-hour trading volume has reached $4.95 billion, ranking 6th out of 9,704 active cryptocurrencies.

Launched in March 2020, Solana (SOL) is an open-source project that provides decentralized finance (DeFi) solutions. The idea and initial work on the project began in 2017 by the Solana Foundation headquartered in Geneva, Switzerland. The protocol is designed to provide facilities for the creation of decentralized applications (DApps). Solana uses a combination of proof of History (PoH) and underlying proof of stake (PoS) consensus mechanisms to improve scalability.

Solana Crypto Delivered 393.27% Return In Six Months

Earlier this year, the SOL token price faced a bullish correction period from the $117.00 level. That resulted in a decline of 4.70% in January 2024, reflecting weakness in selling. Afterward, the noticeable change in crypto price occurred in February 2024 with over 29% positive returns.

The positive shift in February 2024 turned market sentiments bullish in both technical and social terms. This positively impacted March with over 60% positive returns. The price reached the $211.13 resistance in March 2024 and faced profit-keeping. The current month is going through a correction period with over 30% decline.

Solana has an uncapped maximum supply, and the total supply is at 574 million SOL tokens. The total diluted valuation of the project is estimated at around $76.74 Billion. Over 446 million tokens are circulating in the market, with a worth of $59.81 Billion. The volume-to-market capitalization ratio (VMR) is reflecting stable liquidity.

Price To Volume & Social Dominance Analysis

The social buzz of Solana has a strong grip on social media platforms across the world. Solana covers 5.2% of average social dominance on the internet. Cryptocurrency has already won the hearts of the public. With this data, SOL has a strong background in community support. The cryptocurrency managed to gain long-term public trust.

Technical Analysis (SOL)

Source: SOL/USD Daily Chart by TradingView

The current Solana price has slipped between the key exponential moving averages, indicating a short-term fall. If the price rebounds the 50-day EMA, it can create a strong bullish trend.

SOL price has given a breakout from a bullish flag at the $94.33 level. The price moved over 120% to the $211.13 resistance while breaking above the $126.40 resistance. The current price faced an almost 40% decline from the $211.13 resistance. If the price closes above $176.67, the price may reach $211.13. Or if the price slips below $109.80, a shortfall to the $94.33 level can happen.

The relative strength index (RSI) has reached near the oversold 30-mark band. The current strength is moving parallel to the price, reflecting a neutral perspective. The RSI is at 33.65 below the signal line.

Summary

Solana network price has shown a nice, beautiful trend since October 2023. The cryptocurrency has managed over 390% in six months of positive returns. The SOL price is trading at $134.93 at press time, falling from the $211.13 resistance. The price may reach $211.13 If the price closes above $176.67. A shortfall to the $94.33 level can happen if the price slips below $109.80.

Technical Levels

  • Resistance Levels: $176.67 and $211.13
  • Support Levels: $126.40 and $94.33
Disclaimer

The views and opinions stated by the author or any people named in this article are for informational purposes only. They do not establish financial, investment, or any other advice. Investing in or trading crypto or stock comes with a risk of financial loss.

Antonio K Smith: Antonio is a travel photographer by profession and came across the Crypto world during his profession. Since then his love, knowledge and interest towards the technology have increased. He brings his passion to create in his articles.