Solana Must Maintain $200 Support for Potential Price Increase
Solana is experiencing a price correction after initially rising above the $200 support zone. The SOL price must remain above $200 for potential further increases.
- SOL price increased after stabilizing above $188 against the US Dollar.
- The price is currently below $212 and the 100-hourly simple moving average.
- A break occurred below a key bullish trend line with support at $210 on the hourly chart of the SOL/USD pair (data source from Kraken).
- The price could see an upward movement if bulls maintain the $200 support zone.
Solana Price Starts Downside Correction
Solana formed a support base and rose above $185, similar to movements seen in Bitcoin and Ethereum. The price surpassed the $195 and $200 resistance levels.
A high of $225 was reached before a correction began. The price fell below the $220 and $212 levels, dipping below the 50% Fib retracement level of the move from $195 to $225.
With the break below the key trend line at $210, Solana is trading under $212 and the 100-hourly simple moving average.
The price approaches critical support at $200 and the 76.4% Fib retracement level of the prior upward move. Resistance exists near $208, with major resistance at $212.
The primary resistance level is $225. A close above this level could lead to continued upward momentum, targeting $242 and potentially $250.
More Losses in SOL?
If SOL does not rise above the $212 resistance, it may continue to decline. Initial downside support is around $202, with significant support at $200.
A drop below $200 could push the price toward $195. Should it close under $195, further declines to $185 are likely.
Technical Indicators:
Hourly MACD – The MACD for SOL/USD is slowing in the bullish zone.
Hourly RSI (Relative Strength Index) – The RSI for SOL/USD is below 50.
Major Support Levels – $200 and $195.
Major Resistance Levels – $208 and $212.