Convergence

Solana

Value

Resistance

Divergence

<p style="text-align: justify">You can also read this news on COINTURK NEWS: <a href="https://en.coin-turk.com/solana-faces-resistance-and-tests-key-support-levels/" data-wpel-link="internal">Solana Faces Resistance and Tests Key Support Levels</a><br></p>
<p style="text-align: justify">In April, <a href="https://en.coin-turk.com/solanas-resilience-amidst-crypto-market-rally/" data-wpel-link="internal">Solana</a> (SOL) encountered strong resistance at the $202 level, struggling to surpass it and entering a downtrend. The decline brought SOL’s price closer to the 200-day Exponential Moving Average (EMA) at $127. Currently, SOL found significant support in the $127 to $131 range and is trading around $141.</p> 
<h2 style="text-align: justify" id="37-value-loss-and-falling-wedge-pattern">37% Value Loss and Falling Wedge Pattern</h2> 
<p style="text-align: justify">The downtrend over the past three months led to a 37% decrease in SOL’s value. During this period, the altcoin formed a classic falling wedge pattern on the daily chart, typically signaling a potential reversal.</p> 
<p><img loading="lazy" loading="lazy" decoding="async" class="wp-image-368988 size-full aligncenter" src="https://coin-turk.com/wp-content/uploads/2024/07/solana.png" alt="" width="2560" height="1269"></p> 
<p style="text-align: justify">The support provided by the $127-$131 range facilitated a breakout to the north, allowing bulls to test the $154 level. However, recovery attempts faced resistance at the 20-day and 50-day EMAs at $140 and $146, respectively, hindering significant progress.</p> 
<h2 style="text-align: justify" id="200-day-ema-and-historical-downtrend">200-Day EMA and Historical Downtrend</h2> 
<p style="text-align: justify"><strong>SOL</strong> showed some resistance despite retesting the 200-day EMA level, which it hadn’t tested for about nine months. Historically, the last time SOL traded below the 200-day EMA, it entered a downtrend lasting approximately 1.5 years from January 2022. The current 200-day EMA closely aligns with the $127 to $131 support range. If this support holds, there is potential for a short-term recovery.</p> 
<p style="text-align: justify">SOL’s price is likely to fluctuate between $127 and $154 in the coming period. Investors can strategically plan their moves by taking advantage of reversals from these support and resistance levels. A sustained close above $154 could enable buyers to advance towards the $172 region. Conversely, if SOL closes below the $127 to $131 support range, it could enter a prolonged downtrend, potentially leading to oversold <a href="https://finance.coin-turk.com/" data-wpel-link="exclude">market conditions</a>.</p> 
<h2 style="text-align: justify" id="technical-indicators-and-funding-rates">Technical Indicators and Funding Rates</h2> 
<p style="text-align: justify">The Moving Average Convergence Divergence (MACD) indicator still shows a bearish trend in SOL. For SOL to break out of its current consolidation phase, the MACD lines need to rise above the zero mark, signaling a change in momentum. Until this happens, investors should remain cautious as downward pressure persists.</p> 
<p><img loading="lazy" loading="lazy" decoding="async" class="wp-image-368989 size-full aligncenter" src="https://coin-turk.com/wp-content/uploads/2024/07/fonlama.png" alt="" width="2048" height="510"></p> 
<p style="text-align: justify">According to Coinglass <a href="https://newslinker.co/category/ai/" target="_blank" rel="noopener" data-wpel-link="exclude">data</a>, SOL’s funding rates have fallen below zero, indicating a bearish sentiment on exchanges. However, any improvement in these rates could help SOL gain short-term momentum.</p> 
<h5><span style="font-weight:bold;font-size:16px">The post first appeared on COINTURK NEWS: </span> <a href="https://en.coin-turk.com/solana-faces-resistance-and-tests-key-support-levels/" data-wpel-link="internal">Solana Faces Resistance and Tests Key Support Levels</a></h5>

Solana Faces Resistance and Tests Key Support Levels

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