Solana Price reverses its green start, what’s next?

Solana prices are off to a good start this week despite the volatility in the market. The bulls have been exhausted over the past 24 hours. The altcoin is down 3% over the past day. Solana prices rose nearly 6% in the last week.

Technical indicators continued to suggest that bears were in control at press time. If purchasing power continues to move in the same direction, most of the coin’s weekly gains will be wiped out.

The technical outlook for the coin is negative as sellers take over at the time of writing.

The current support area for the coin is between $33 and $26. If SOL falls below current price levels, the bears will gain momentum on the charts.

As Bitcoin has been hovering around $19,000, most altcoins have also started to falter on their respective charts and approach their immediate support levels.

In order for the Solana price to reach its next price cap, the demand for the coin must increase on its chart.

Solana Price Analysis: One Day Chart

Solana is priced at $33 on a one-day chart | Source: SOLUSD on TradingView

At the time of writing, SOL is trading at $33. The coin has rallied recently over the past few days, but the bulls are facing resistance and falling on the charts.

Immediate resistance for the coin lies at $38, followed by another price cap at $41. If Solana price decides to break above the $41 level, bulls could be on the charts.

On the other hand, the nearest support line is at $29, and a decline from this level will lead the altcoin to trade at $26.

Altcoins traded less in the previous session, indicating a drop in buying power on the charts.

technical analysis

Solana price
Solana records decline in buying power on single-day chart | Source: SOLUSD on TradingView

The altcoin is showing more selling power on its one-day chart. Despite the gains over the past few days, Solana has not seen a surge in buyers.

It also means that demand is at a lower level. The RSI is trending up and the indicator is on the half line, which means the number of buyers and sellers is an even number.

However, other indicators are consistent with selling pressure on the chart.

Solana price is below the 20-SMA line, which also shows that sellers are driving price momentum in the market. With a small appreciation in demand, the SOL could break above the 20 SMA line.

Solana price
Solana shows buy signal on one-day chart | Source: SOLUSD on TradingView

Other technical indicators for SOL have yet to turn fully bearish, although these are showing the beginning of bearish pressure.

Moving Average Convergence Divergence indicates price momentum and overall price direction.

The MACD continues to show a green histogram, which is a buy signal for the coin.

The green signal bar is falling, which also means that the positive price momentum is declining.

The Directional Movement Index shows price momentum precisely because the +DI line is above the -DI line.

The average direction index is below the 20 mark, indicating that the current market trend is weak.

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