Market Analysis

SOLANA PRICE ANALYSIS & PREDICTION (August 31) – Sol Resumes Selling, Will This Crucial Support Contain Pressure?

Following several bounces off crucial support in the past months, Sol faced tough resistance again and began to lose traction. The price is currently on the verge of breaking through a three-week support.

This month’s trading has been quite interesting as Sol bounced sharply from a dip but things turned out ugly as it failed to sustain momentum above the $164 level. It managed to retake this level last week but the price got rejected again, bringing a halt in the recovery last weekend. 

The crypto declined this week and posted a roughly 10% loss to where it is currently priced at $138, near multi-week support. A daily close below this support could trigger a bigger sell-off in the upcoming month.

If that comes into place, Sol’s price could plunge below the crucial $120 support that has been holding the market since the correction started in March. Such a breakdown could lead to a 50% drop in the price.

But if this crucial support continues to produce a bounce, we can expect a major price recovery just like what we saw in the previous trading. For now, the market remains under the bears’ radar from a mid-term outlook.

SOL’s Key Level To Watch

Source: Tradingview

While Sol is attempting to wrap up the month bearishly, the closest support for a test lies at $136.1- a three-week low, followed by $130 and $120 respectively. There’s also support at $110 in case of a breakdown.

Currently, the $155 and $163.5 levels are held as resistance. If the bulls push back above these levels, their next area of interest would be $175.6.

Key Resistance Levels: $155, $163.5, $175.6

Key Support Levels: $136.1, $120, $110

  • Spot Price: $138.7
  • Trend: Bearish
  • Volatility: High

Disclosure: This is not trading or investment advice. Always do your research before buying any cryptocurrency or investing in any services.

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Image Source: alexandarilich/123RF // Image Effects by Colorcinch

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