Solana is a highly functional open-source project that banks on blockchain technology’s permissionless nature to provide decentralized finance (DeFi) solutions. While the idea and initial work on the project began in 2017, Solana was officially launched in March 2020 by the Solana Foundation with headquarters in Geneva, Switzerland. Let us look at the technical analysis of SOL.
SOL opened on 09 October 2021 at $158.70. A valley was seen in the chart across the week. It closed yesterday, i.e., on 15th October 2021, at $162.60. There was an overall change of +2.5% over the week.
SOL Technical Analysis
The chart is showing the price was on a downtrend till it took crucial support at $139.96. The trend reversed itself and the price increased for a few days. The trend is again showing bearish signals today. Currently, SOL is trading at $158.45, which is about 2.7% down from yesterday.
OBV is showing a horizontal line on its graph. This means that the buying and selling pressures are balancing each other. This signals that the price has entered a box. Traders may hold their position if there is no significant fluctuation in the prices.
RSI is also moving towards equilibrium. It is currently at 54.60%. This is again a signal that the price is expected to remain stable for a while. Traders may hold their current positions till there is a clear call.
MACD is showing bearish signals as the fast line is moving below the slow line. However, the fast line has touched the slow line and if it overtakes, then it will be a sign to enter the market.
Day-Ahead and Tomorrow
Fib retracement is showing that the trend has taken support from the Fibonacci level at $139.6 and has reversed itself from there. It is currently facing resistance at the Fibonacci level of $163.21.
Thus, the indicators are showing mixed signals. The traders may hold their current positions and wait for a clear signal, as the price chart has likely entered a box.
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