SOL-“Wait and See Approach”

1-Day Analysis:

Big Picture: Solana slipped past an important level of support during the previous week. Price has re-tested this level a couple of times since then but has seen mild rejections off it. Solana’s daily EMAs of 50 and 200 are likely to fail the first Golden-Cross formation, which was too be initiated after several months ago. This deviation might lead to increased selling in sessions to come, therefore caution remains advised. However, for bulls, consolidation above the supports remains favorable in order to absorb the ongoing selling and make way for a corrective move, even if partial.

On the Upside the resistance levels remain unchanged, with primary resistance remaining visible around 22.40 to 22.85. Prior reports stated that bulls will need to be very determined to break through these levels in their early efforts. However, they are currently failing to win this contest. Solana’s upward potential remains restricted as long as these resistances stay solid.

On the Downside continued failure off the primary resistance levels could force price to re-test the support levels of 20.30 to 19.60. Re-testing these supports and furthermore holding them could force some aggressive short-coverings which can assist price in breaking past the primary resistance levels even if partially. Solana will avoid further selling as long as it holds these supports.