- Solana price breaches a trendline that has provided support since September.
- Solana price was rejected from the 8-day exponential moving average,
- Invalidation of the bearish thesis is a breach above $38.00
Solana price appears to be aiming toward newfound lows. Key levels have been defined.
Solana price could continue declining
Solana price shows reasons to believe that a sweep-the-lows event will arise in the coming days. Solana, the centralized smart contract token, witnessed a 22% decline last month after enticing bulls to go long during a false breakout. An influx of volume surfaced during September’s decline, hinting that the bears are in control of the trend. Now on Monday, October 10, the bears have produced a spike through a trendline which has provided support for the Solana price throughout September.=
Solana currently auctions at #32.112 as the bears have produced a steep decline to start the second week of October. The move south was catalyzed over the weekend as the bulls were rejected from the 8-day exponential moving average. The Relative Strength Index is now in extremely oversold conditions signaling the potential for a short-term bounce that will likely be short-lived. If market conditions persist, the $30 barrier could lose support in the coming days. Such a move would result in an additional 7% decline.
SOL USDT 12-Hour Chart
Invalidation of the bearish thesis is a breach of the September 12 high at $38. An additional uptrend rally targeting $44 liquidity levels could occur if the breach occurs. Said price action would result in an 18% increase from the current Solana price.