4-Hour Analysis:
Big Picture: Solana established a lower-time frame bottoming structure, which was aided further by the bullish divergence, resulting in aggressive short-coverings, which pushed price back up. Solana is currently trading at important levels, and a breach of these levels might turn short-coverings into panic short-coverings, propelling the price much higher. Solana must break and sustain below the range lows in order for the bearish trend to continue.
On the Upside Solana is now challenging the 21.20 to 21.30 levels. Acceptance above this level would be a favorable sign for the coin. Above 21.30, the next level of resistance is at 21.50, and a break of this could result in panic short-covering, propelling Solana higher towards 21.80 and possibly 22.15.
On the Downside price was continued to be supported by the range lows once more, pushing for a price reversal. Despite been tested numerous times, this support is still in demand. The initial support levels for the session are 20.80 and 20.60. Below them, the range lows at 20.30 to 20.00 are likely to provide price support once more. Sellers’ bearish continuation is unlikely unless they breach below range low supports.
