Flow

Long

Solana

when

You can also read this news on COINTURK NEWS: <a href="https://en.coin-turk.com/solana-faces-decline-due-to-increased-selling-pressure-2/" data-wpel-link="internal">Solana Faces Decline Due to Increased Selling Pressure</a> 
<a href="https://en.coin-turk.com/bitcoin-and-solana-show-promising-gains-in-the-crypto-market/" data-wpel-link="internal">Solana</a> exited an ascending channel on May 20 and has since dropped by 13%. As the altcoin price aims to move below the 20-day Exponential Moving Average (EMA), SOL may face further decline due to increasing selling pressure. The double-digit drop in SOL price over the last three days has pushed it towards the 20-day EMA. 
<h2 class="p1" style="text-align: justify" id="why-is-solana-dropping">Why is Solana Dropping?</h2> 
This situation, preparing to fall below the key average, may indicate an increase in SOL sales among market participants. A 20-day EMA is a short-term moving average that quickly responds to price changes and reflects an asset’s average closing price over the last 20 days. 
An asset falling below this moving average can be a bearish signal because it means the asset’s current price is lower than the average price of the last 20 days. This is considered a shift towards the distribution of cryptocurrency. 
<img loading="lazy" loading="lazy" decoding="async" class="aligncenter wp-image-355346 size-full" src="https://coin-turk.com/wp-content/uploads/2024/05/sol-3.webp" alt="" width="1536" height="1017"> 
The decline in SOL’s Money Flow Index (MFI) confirmed the increase in bearish impact, and this indicator measures the buying and selling pressure behind SOL price movement. 
<img loading="lazy" loading="lazy" decoding="async" class="aligncenter wp-image-355345 size-full" src="https://coin-turk.com/wp-content/uploads/2024/05/flow-2.webp" alt="" width="1536" height="1017"> 
At the time of writing, SOL’s MFI <a href="https://newslinker.co/category/ai/" target="_blank" rel="noopener" data-wpel-link="exclude">data</a> was below the neutral line of 50 at 48.84, indicating that selling activity has outpaced buying momentum among market participants. 
<h2 class="p1" style="text-align: justify" id="solana-chart-analysis">Solana Chart Analysis</h2> 
SOL price decline in the past few days has led to an increase in long liquidations in the altcoin futures market. Between May 20 and 23, futures SOL <a href="https://finance.coin-turk.com/" data-wpel-link="exclude">investors</a> lost $19 million. Liquidations occur when an investor’s position is forcibly closed due to insufficient funds to maintain the position. 
Long liquidations occur when an asset’s value suddenly drops, forcing investors with open positions in favor of price increases to exit their positions. Interestingly, despite this, SOL futures investors continue to demand more long positions. Funding rates remained positive at 0.014% at the time of writing. 
<img loading="lazy" loading="lazy" decoding="async" class="aligncenter wp-image-355344 size-full" src="https://coin-turk.com/wp-content/uploads/2024/05/coinglass-4.webp" alt="" width="1536" height="433"> 
If this trend continues and bulls regain control of the token’s spot market, SOL price could rise to $169.94. However, if selling pressure continues to increase, SOL’s next price level could be $151.95. 
<img loading="lazy" decoding="async" loading="lazy" class="aligncenter wp-image-355343 size-full" src="https://coin-turk.com/wp-content/uploads/2024/05/sol-grafik.webp" alt="" width="1536" height="1017"> 
<h5>The post first appeared on COINTURK NEWS: <a href="https://en.coin-turk.com/solana-faces-decline-due-to-increased-selling-pressure-2/" data-wpel-link="internal">Solana Faces Decline Due to Increased Selling Pressure</a></h5>

Solana Faces Decline Due to Increased Selling Pressure

目錄

COINTURK NEWS

在 2024年5月24日發表的其他文章

Solana Dev Suffers Serious Burns in Meme Coin Publicity Stunt, Remains Defiant

Analyst Anticipates Growth for Dogwifhat

Bitcoin stumbles, ether resists and surprises!

Bitcoin Disappoints With Fall To $67,000, But Analyst Says Investors Should Not Be Fazed. Here’s Why

Ethereum (ETH) Faces Resistance at $3,700 - Will Bulls Overcome?

Can XRP and Cardano Catch Up with the Soaring Heights of MoonBag?

訂閱免費電子報，每天收取加密貨幣最新動態！