Solana failed to hold above $142 and has pulled back. The price of SOL is now trading below $140 and could find support near the $135 level.
After being unable to break past $145, SOL began a downward correction, moving below $142 and $140 into short-term bearish territory. The decline extended below the 50% Fibonacci retracement level of the recent rally from $131 to $145, though buyers have stepped in around $136. A bullish trend line is forming with support at $135 on the hourly chart, and SOL remains above both this level and the 100-hour simple moving average.
On the upside, resistance is seen near $140, followed by $145. A decisive close above the key $148 resistance could pave the way for further gains toward $155 and potentially $165.
If SOL fails to climb above $142, it could resume its decline. Initial support lies near $136, around the 61.8% Fibonacci retracement level. The next major support is at $135 along the trend line. A break below $135 could push the price toward $132, and a close under that level might lead to a drop toward $125.
Technical Indicators:
– Hourly MACD: Gaining momentum in bearish territory.
– Hourly RSI: Below 50.
– Major Support Levels: $135 and $132.
– Major Resistance Levels: $142 and $145.
Frequently Asked Questions
FAQs Solanas Price Pullback Potential Support Test
BeginnerLevel Questions
1 What does it mean that Solana pulled back from a critical resistance area
This means Solanas price tried to rise past a specific historically significant price level but failed and started to move downward instead Think of resistance as a price ceiling thats hard to break through
2 What is a support level in trading
A support level is a specific price point where an asset like Solana has historically stopped falling and bounced back up It acts like a price floor where buying interest tends to increase
3 Why is testing a support level important
Testing support is a key moment that shows whether the current bullish sentiment is strong enough to hold the price up If it holds it can be a sign of strength If it breaks the price could fall further
4 Should I buy Solana now that its pulling back
This is a personal investment decision we cannot make for you Pullbacks can be opportunities but they also carry risk Its crucial to do your own research understand your risk tolerance and never invest more than you can afford to lose
5 Where can I check Solanas support and resistance levels
You can view these levels on most cryptocurrency charting platforms by looking at historical price action Traders often use tools like horizontal lines to mark where the price has previously reversed
Advanced Strategic Questions
6 What typically happens after a rejection at a major resistance like this
After a strong rejection the price often retraces to find the nearest strong support level This move allows the market to cool off shake out weaker positions and gather momentum for its next major move either up or down
7 How can I tell if the support level will hold or break
Watch for key signals at the support zone Increased trading volume on upward bounces suggests holding strength Conversely high volume on a downward break through support indicates it may fail Also watch broader market sentiment as it heavily influences altcoins like Solana
8 What are common trading strategies during this kind of pullback