Crypto price prediction: Solana (SOL) more decline will suggest sellers are in market control

 SOL crypto price prediction:

Solana crypto analysis

Solana (SOL) has experienced significant futures liquidations in the past 24 hours, totaling $8.32 million. Of this amount, $6.68 million came from long positions, while short liquidations accounted for $1.63 million. This indicates that many traders who expected the price to rise had to close their positions due to the recent price drop. Such liquidations often increase market volatility and influence price movements.

SOL recently faced rejection near the $206 resistance level, which aligns with the upper boundary of a descending channel. This resistance has been a key level where the price struggles to move higher. If the bearish trend continues, SOL could decline further, moving toward the lower boundary of the channel. This suggests that sellers currently have control over the market.

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On the other hand, if SOL manages to break above the descending channel and establish support at that level, it could trigger a strong upward move. In this case, SOL might rally by 35% and reach the $270 mark. However, for this bullish scenario to play out, buyers need to step in with strong momentum and push the price above resistance.

Technical indicators such as the Relative Strength Index (RSI) and the MACD are currently below their neutral levels. This indicates that bearish momentum is dominant, meaning that sellers are more active than buyers. If these indicators remain weak, it could increase the chances of further price declines.

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A crucial support level to watch is $163. If SOL closes a daily candlestick below this level, the bearish outlook will strengthen, potentially sending the price down to $115. This would be a significant decline and could lead to further losses if buyers fail to regain control. For now, Solana’s price movement depends on whether it can break resistance or continue its downward trend.