Solana Price drops below $20; Is SOL price turning bearish

• Solana Price drops below $20.00 support with a strong momentum.
• SOL Price trading below 50 and 200 day EMA.
• Solana Price Prediction turning mild bearish for long term till it below $20.00.

Solana Price drops below the $20.00 support with a strong downside momentum. The long term Solana Price Prediction is turning bearish which raised concern for the investors. 

The SOL Price has consolidated a lot in the narrow range between $20.00 to $25.00 in hope of range expansion. Sadly, the sellers seem to be winning the battle and pulling the price down. 

Solana Price is trading below the downward sloping 50 and 200 day EMA shows downtrend. Therefore, If any short term up-move came then both the EMAs will act as an immediate hurdle for bulls. 

Solana Price did not perform well in the past few months and remained in the range. Buyers tried multiple times to break out of the range with a high volume but got rejection. It shows the dominance of sellers in the supply zone. 

At the mid of March, SOL price created an important swing low at $16.00 which will now act as an important support. The downside momentum is high but till $16.00 is sustained the downfall seems limited. 

Solana price is trading at $18.60 with an intraday decline of -0.21%. The 24 hour volume to market cap ratio is 0.0544. Well, the SOL/BTC pair is trading at 0.0007065 with an intraday decline of -0.11%. 

Will Solana Price test $16.00 in downfall?

Solana Price fell 14% in the current week and faced a strong rejection from the $22.00 level. 

The crypto leader BTC price unable to sustain the $27000 and trading with mild bearishness. It has negatively impacted the SOL price as well as prices of the other Altcoins. 

If the sell off continues then prices are expected to test the $16.00 which will decide the next direction. Till Solana Price holds $16.00 the possibility of bounce back is high. 

However, the trend reversal will be visible only above $22.00. On the other hand, if the situation gets worse and the price drops below $16.00 then the long term outlook will turn bearish. Moreover, resistance will shift down and bear the try to pull it down to $10.00. 

More selloff pending in SOL Price 

SOL Price has formed a bearish engulfing candle on a weekly time frame and hits a 3 months low. As of now, no signs of recovery or any short term reversal is visible. Therefore, more sell off is pending. Well the downside is limited to $16.00 until we see a breakdown. 

The MACD curve has negatively intersect the average line and slopes downward. It shows the downside is just started and sellers are more active as compared to buyers. The RSI at 37 slopes down denotes weakness and prices likely to reach the oversold territory soon.

Conclusion

Solana Price fell 14% in the current week and dropped below the crucial support of $20.00. It hurted the sentiment of long term investors. The SOL price is heading toward $16.0 which will act as strong support as well as decide the next direction. 

The technical analysis suggests Solana crypto is bearish but till it holds $16.00 the downfall is expected to take halt soon.

Technical levels

Resistance levels: $22.00 and $27.00

Support levels: $16.00 and $12.00

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 other advice. Investing in or trading crypto assets comes with a risk of financial loss.