Solana Price Prediction: A breach below $30 in the coming days
- Solana price breaches a trendline that has provided support since September.
- Solana price was rejected from the 8-day exponential moving average,
- Invalidation of the bearish thesis is a breach above $38.00
Solana price appears to be aiming toward newfound lows. Key levels have been defined.
Solana price could continue declining
Solana price shows reasons to believe that a sweep-the-lows event will arise in the coming days. Solana, the centralized smart contract token, witnessed a 22% decline last month after enticing bulls to go long during a false breakout. An influx of volume surfaced during September’s decline, hinting that the bears are in control of the trend. Now on Monday, October 10, the bears have produced a spike through a trendline which has provided support for the Solana price throughout September.=
Solana currently auctions at #32.112 as the bears have produced a steep decline to start the second week of October. The move south was catalyzed over the weekend as the bulls were rejected from the 8-day exponential moving average. The Relative Strength Index is now in extremely oversold conditions signaling the potential for a short-term bounce that will likely be short-lived. If market conditions persist, the $30 barrier could lose support in the coming days. Such a move would result in an additional 7% decline.
SOL USDT 12-Hour Chart
Invalidation of the bearish thesis is a breach of the September 12 high at $38. An additional uptrend rally targeting $44 liquidity levels could occur if the breach occurs. Said price action would result in an 18% increase from the current Solana price.
Author
Tony M.
FXStreet Contributor
Tony Montpeirous began investing in cryptocurrencies in 2017. His trading style incorporates Elliot Wave, Auction Market Theory, Fibonacci and price action as the cornerstone of his technical analysis.
