Solana price Plummet below key support level, Will There be a Yearly Bottom Retest?

• Solana price was unable to stop selling below the key $30 support area.
• The Choppiness Index is rising from its lows, indicating a reduction in the sideways trend.
• The market cap fell by 5.77% to $9.87 million in the last 24 hours.

Solana Coin is reacting to crypto market sentiment as its price is again moving towards annual lows. The crypto market is still low compared to other weeks. Even the bears broke some key support levels after the massive consolidation phase. This price drop could be sustained for a long time as it happened after a massive consolidation.

Solana price has been underperforming since hitting an all-time high. Buyers are suffering from easing selling pressure in Solana Crypto, but they are only disappointed. Bears follow sell on rise formation on each time frame so bears are connecting each wick of candlesticks to connect with bearish trend lines.

Market Behavior After Support’s breakdown

Source: SOL/USDT by Tradingview

At the time of writing, solana price is trading at the $27.3 mark against the USDT pair, as of press time. Undoubtedly, solana price was unable to stop selling after falling below the key $30 support area. Now this area has turned into an immediate resistance zone. On the other hand, the yearly low near $26 is acting as a turning point. The price is likely to move higher near this level.

After a tight range breakdown, the 20-day moving average started moving above the current SOL price. However, the Choppiness Index is rising from its lows, indicating a reduction in the sideways trend. As a result, the market cap fell by 5.77% to $9.87 million in the last 24 hours.

Source: SOL/USDT by Tradingview

Over the daily price scale, the RSI indicator turned lower around the semi-line. It’s now ready to dive into the oversold zone. Besides, the MACD indicator is increasing and about to move through the neutral zone.

Conclusion

The Solana price decline may take a pause near the annual bottom level. Thus market sentiments seem weak, so near 52 weeks low buyers need to reverse altcoin trend to defend themselves from more bloodbath.

Support level – $26 and $20

Resistance level – $30 and $50

Disclaimer

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

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