Solana couldn’t hold above $85 and gave back most of its gains. The price is now steadying above $80 after the drop, and it might keep falling. SOL recently declined below $84 and $82 against the US dollar. It’s now trading under $82 and below the 100-hour simple moving average. On the hourly chart of the SOL/USD pair (data from Kraken), there was a break below a falling channel with support at $82. If buyers can defend the $80 or $78.50 levels, the price could start to recover.
Solana Price Drops From $85
Solana couldn’t stay above $84 and began a fresh decline, similar to Bitcoin and Ethereum. It fell below $82 and $81.50. Additionally, on the hourly chart, it broke below a falling channel with support at $82. The bears pushed the price down to around $80, hitting a low of $79.92. Now, the price is consolidating below the 23.6% Fibonacci retracement level of the drop from the $84.65 high to the $79.92 low.
Solana is trading under $82 and below the 100-hour simple moving average. On the upside, the first resistance is near $81.10. The next major resistance is around $82.20, which is the 50% Fibonacci retracement level of the same drop. The main resistance is at $82.80. If the price closes above $82.80, it could set up for another steady rise. The next key resistance is $84.50, and further gains might push it toward $85.
More Losses for SOL?
If Solana can’t break above the $82.80 resistance, it might keep falling. The first support on the downside is near $80, followed by $78.50. A break below $78.50 could send the price toward the $72 support zone. If it closes below $72, the price might drop to $70 in the near term.
Technical Indicators
– Hourly MACD: The MACD for SOL/USD is gaining momentum in the bearish zone.
– Hourly RSI (Relative Strength Index): The RSI for SOL/USD is below 50.
Key Levels
– Major Support: $79.92 and $78.50
– Major Resistance: $82.20 and $82.80
Frequently Asked Questions
Here is a list of FAQs addressing the situation where Solana has dropped further and market sentiment has turned strongly bearish
BeginnerLevel Questions
1 Why is Solana dropping so much
Theres no single reason but it usually comes down to a mix of things broader crypto market fear technical issues on the network large investors selling off their holdings or negative news about the Solana ecosystem
2 What does bearish sentiment mean
It just means most people expect the price to keep going down Think of it as a glass half empty mood Traders are pessimistic so they sell which pushes the price down even further
3 Should I sell my Solana now
No one can tell you what to do with your money Generally selling in a panic when everyone else is selling often locks in a loss Its a personal decision based on your risk tolerance and whether you believe the project will recover longterm
4 Is Solana going to zero
Its very unlikely to go to absolute zero but it can lose a massive amount of value Solana is still a major blockchain with a large community and active development but it is facing serious headwinds A drop to very low prices is possible but total collapse is rare for toptier projects
5 Whats the difference between a correction and a crash
A correction is a normal 1020 drop after a price increase A crash is a sudden sharp and severe drop often caused by panic If Solana has dropped further and sentiment is strongly bearish its likely moved beyond a simple correction into a more serious downtrend
IntermediateLevel Questions
6 How does market sentiment actually affect the price
Its a selffulfilling prophecy When sentiment is bearish more people place sell orders than buy orders This creates excess supply pushing the price down The lower price then reinforces the bearish feeling causing more selling Its a loop of fear
7 Is this drop related to Solanas network performance or just the overall market
Its usually both Solana has a history