Solana (SOL) Faces Renewed Selling — Will Support Levels Hold?

Solana started a fresh decline from the $180 zone. SOL price is now moving lower and might decline further below the $160 level.

• SOL price started a fresh decline from the $180 resistance zone against the US Dollar.
• The price is now trading below $170 and the 100-hourly simple moving average.
• There is a connecting bearish trend line forming with resistance at $170 on the hourly chart of the SOL/USD pair (data source from Kraken).
• The pair could start a fresh increase if it clears the $170 resistance zone.

Solana price failed to continue higher above the $180 level and started a fresh decline, unlike Bitcoin and Ethereum. SOL gained pace and traded below the $170 support level.

The price even traded below the $162 level. A low was formed near $160 and the price recently started a recovery wave. There was a move above the $165 level. It surpassed the 23.6% Fib retracement level of the recent decline from the $180 swing high to the $160 low.

Solana is now trading below $170 and the 100-hourly simple moving average. There is also a connecting bearish trend line forming with resistance at $170 on the hourly chart of the SOL/USD pair.

On the upside, the price is facing resistance near the $169 level and the trend line. It is close to the 50% Fib retracement level of the recent decline from the $180 swing high to the $160 low. The next major resistance is near the $172 level.

The main resistance could be $180. A successful close above the $180 resistance zone could set the pace for another steady increase. The next key resistance is $185. Any more gains might send the price toward the $200 level.

If SOL fails to rise above the $170 resistance, it could start another decline. Initial support on the downside is near the $162 zone. The first major support is near the $160 level.

A break below the $160 level might send the price toward the $155 zone. If there is a close below the $155 support, the price could decline toward the $142 support in the near term.

Technical Indicators

Hourly MACD – The MACD for SOL/USD is gaining pace in the bearish zone.

Hourly Hours RSI (Relative Strength Index) – The RSI for SOL/USD is below the 50 level.

Major Support Levels – $162 and $160.

Major Resistance Levels – $170 and $172.