- Solana is facing strong bearish pressure, with key indicators signaling a potential drop below $110 if support at $120 fails.
- Solana remains in a downtrend as the Ichimoku Cloud, death cross, and rising ADX confirm growing selling momentum.
Solana (SOL) is struggling to regain momentum as bearish indicators dominate the market. The cryptocurrency has dropped over 6% in the past week and is now at risk of slipping below the critical $110 support level. With multiple technical signals pointing to further downside, investors are bracing for a potential dip.
Bearish Indicators Strengthen the Downtrend
Solana’s price has been trending below $150 since March 6, with key indicators reinforcing the bearish outlook. The Ichimoku Cloud paints a grim picture, as SOL continues to trade beneath both the Kijun-sen and Tenkan-sen lines. The Lagging Span remains below price action, confirming sustained selling pressure.
Adding to the concerns, Solana recently experienced a death cross, a bearish formation where the short-term moving average crosses below the long-term one. Historically, this pattern signals extended downside pressure, and SOL’s price movement aligns with this expectation.
DMI Confirms Sellers Are in Control
The Directional Movement Index (DMI) further supports the bearish momentum. The ADX has surged to 40.87, indicating a strong trend, while the -DI (negative directional index) remains dominant over the +DI (positive directional index). This confirms that sellers are maintaining control, making a price recovery challenging in the short term.
If Solana fails to hold above its nearest support at $120, a drop below $110 could be imminent, marking its lowest level since February 2024.
Key Support and Resistance Levels to Watch
- Support: The crucial level to watch is $120—if this breaks, SOL could quickly test $112 and potentially fall below $110.
- Resistance: If bullish momentum returns, SOL must first reclaim $136 before attempting to break through $147, which has acted as a strong resistance zone recently.
Solana: What’s Next for SOL?
Solana’s price action remains under bearish control, and unless buyers step in with significant volume, further downside is likely. Traders should keep an eye on the $120 support level as a key decision point. If SOL can regain strength and push past resistance, a recovery rally may unfold. Otherwise, sub-$110 levels may soon be a reality.
