Solana

The price of Solana (SOL) has been in decline since being rejected at the $27 horizontal resistance area in July. Daily timeframe readings indicate an expectation for the downward trend to continue in the near future.Solana&#39;s price is trading below a long-term resistance Analysis of the weekly timeframe indicates that the price broke a declining resistance line in July. Despite this breakout, SOL&#39;s price was unable to surpass the $27 horizontal level and formed a long upper wick (red symbol), confirming the $27 area as a resistance zone. Therefore, confirmation of the breakout depends on SOL&#39;s price closing above this level.Looking at the Weekly Relative Strength Index (RSI), there is a slight upward bias in the bullish stance. Investors commonly use RSI as a momentum indicator to gauge whether a market is potentially overbought or oversold, aiding in decisions to accumulate or sell an asset.If the RSI value is above 50 and trending upward, it indicates a favorable position for the bulls. Conversely, a reading below 50 signifies the opposite. Although RSI is currently above 50 (red circle), it has not decisively crossed this threshold. Consequently, the likelihood of dropping below this level remains.For a confirmed upward trend, both a clear recovery in RSI and a price close above $27 are needed. On the other hand, continued descent could result in a 35% drop to the $16 resistance line.Turning to developments within the Solana Network, there&#39;s a mix of news. Part of Solana, Saga Mobile, reduced prices of its web3 smartphone by 40% to boost adoption. However, Solana&#39;s Cypher protocol suffered a security breach resulting in a $1 million exploit on Monday. Additionally, Solana launched a new application rewarding AI data providers with cryptocurrency.SOL price prediction: Expecting a pullback! Unlike the neutral weekly timeframe technical analysis, the daily trend is on a downtrend. The primary reason for this is breaching above the $27 resistance area, forming a long upper wick (white circle), followed by falling below it.Furthermore, the price formed a lower high below the resistance line on August 14th (red symbol). Both the lower high point and the failure to reach the $27 zone are regarded as signs of weakness. Lastly, the daily RSI dropped below and is decreasing from 50 (red circle). While the weekly timeframe is neutral, the daily trend is downward.If the decline persists, SOL&#39;s price could decrease by 33% and reach a rising support line at $15.40.Despite this downward-biased SOL price prediction, a close above the $27 area would imply that the trend is still upward. In that case, the next resistance at $46 could result in a 96% increase as a potential future price scenario.

Solana's price is giving off danger signals: Will SOL be able to hold onto the critical resistance level?

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