4-Hour Analysis:
Big Picture: Solana tried to retake intraday resistance, but was met with significant rejection, resulting in another powerful selling spree. However, support levels have shown an equally strong reaction upon test. This present market activity indicates that both bulls and bears are unwilling to back down and are striving for control. Unless one side gains a strong dominance over the other, Solana is likely to stay choppy.
On the Upside 41.10-42.30 are once again proving to be critical resistance levels. Solana needed to hold off on these levels in order to maintain semi-bullish momentum. Unless and until this level is regained, the upside is likely to be limited. However, the next resistance levels are at 44.20, 45.20, and 47.85.
On the Downside As anticipated, the EMA-200 remained a weak support level that was easily breached. However, the lower indicated support levels stepped up again and provided adequate support to the price. These supports are still effective at 37.70, followed by 36.30. Solana must maintain these levels in order to have any hope of reclaiming the Mid-Level, as losing these supports exposes the price towards further risk lower.
