Solana (SOL) is seeing massive trading below $90 as the risk of a crash increases

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Solana failed to stay above $90 and revised its gains. SOL is currently trading below $85 and could see deals near the $76 zone.

  • The SOL price began a downward correction below $85 against the US dollar.
  • The price is currently below $82 and the 100-hour elementary moving average.
  • A bearish trend line is forming on the hourly chart of the SOL/USD pair with resistance at $81 (data source from Kraken).
  • The pair could enhance losses if it falls below the $76 zone.

Solana’s price begins a downward correction

Solana’s price failed to break above $90 and began a downward correction, just like Bitcoin and Ethereum. SOL dropped below $85 and $82 to enter a short-term bear zone.

There was a move below the 50% Fib retracement level on an uptrend from a low of $67.40 to a high of $89.72. Additionally, a bearish trend line is forming on the hourly chart of the SOL/USD pair with resistance at $81.

Solana is currently trading below $80 and the 100-hour elementary moving average. On the other hand, the price is facing resistance near the $81 level and the trend line. The next major resistance is near the $82.20 level. The main resistance could be $85. A successful close above the $85 resistance zone could set the pace for further sustained growth. The next key resistance is $90. Any further gains could push the price towards the $102 level.

More losses in SOL?

If SOL fails to break above the resistance at $82, another decline could begin. Initial downside support is located near the $76 zone and the 61.8% Fib retracement level of the rising wave from a low of $67.40 to a high of $89.72. The first major support is located near the $72.50 level.

A break below the $72.50 level could push the price towards the $68 support zone. If a close occurs below the $68 support, the price could drop towards the $60 support in the near future.

Technical indicators

Hourly MACD – The MACD for SOL/USD is gaining momentum in a bearish zone.

Hourly RSI (Relative Strength Index) – The RSI for SOL/USD is below the 50 level.

Major support levels – $76 and $72.50.

Major resistance levels – $81 and $85.

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