Solana (SOL) Struggles Near $80: Traders Eye Critical Support Levels

Solana has been unable to maintain its position above $90 and has continued to decline. Currently, the price of SOL is consolidating below $85, and it may face challenges in initiating a recovery.

Key Takeaways

Solana's price has entered a new downward phase, falling below key support levels of $85 and $82 against the US dollar.
SOL is trading under $85, and below the 100-hour simple moving average (SMA).
An evident bearish trend line is forming on the SOL/USD hourly chart, with immediate resistance at $85.50 (data from Kraken).
A technical bounce may occur if buyers manage to defend important levels at $82 or $80.

Solana Price Chart

Solana Tests $80 Again

The price of Solana has struggled to stay above the $90 mark and has resumed its downward trend, following Bitcoin (BTC) and Ethereum (ETH). SOL has broken through key support levels at $88 and $85.

Bearish pressure intensified below $83.50, bringing the price down to a low of $80.29. Currently, the price is consolidating losses below the 23.6% Fibonacci retracement level relative to the decline from the recent high of $94.10 to the low of $80.29.

Solana is now trading below $85 and the 100-hour simple moving average. The first immediate resistance is around $85, and a bearish trend line is observed on the hourly chart for the SOL/USD pair, with resistance at $85.50.

Source: SOL/USD on TradingView.com

The next significant hurdle is at approximately $87.20, which corresponds to the 50% Fibonacci retracement of the drop from $94.10 to $80.29. However, the main resistance remains at $88.80. A confirmed breakout above this level could pave the way for a stable upward move, with the next target set at $95, and possible extensions toward the $102 mark.

Are New Lows Ahead for SOL?

If SOL fails to move above the $85 resistance, the downward trend may continue. The initial support is at $82, but the critical level to watch is $80.

A breach of the $80 support could push the price down towards the $72 support zone. If it closes below that level, the price could risk sliding down to $65 in the short term.

Hourly MACD: The MACD for SOL/USD is losing momentum in bearish territory.
Hourly RSI (Relative Strength Index): The RSI for SOL/USD currently remains above the 50 threshold.
Key Supports: $82 and $80.
Key Resistances: $85 and $88.