The general downward trend in the cryptocurrency market recently To the left (SOL) prices were also negatively affected. SOL lost about 4% in the last 24 hours and started trading at $137. Solana’s trading volume also fell by 12%, indicating a decrease in market interest and a lack of confidence among traders.
Technical Indicators Point to Lack of Buyers
Solana’s technical analysis clearly shows that buyer interest is weakening. Chaikin Money Flow (CMF) indicator has been in negative territory since the beginning of the week. A Prize Pool Worth 21 Million TL Awaits You from BinanceTR! Participating and winning has never been easier.. You can sign up to BinanceTR from this link. Get your first crypto!
This situation shows that there is constant selling pressure in the market and buyers are not showing enough interest to counter this pressure. The RSI (Relative Strength Index) indicator also supports this situation as the index is at 33. The level of 33 shows that the market is still under the control of bears.
Is There Hope For A Potential Uptrend?
The fact that Solana did not show signs of recovery from the $ 138 support level can be considered as a negative development for the market. The RSI indicator attempted to break above the signal line, while successive red candles caused hopes of recovery to be dashed.
If Solana bounces above $138, it will head to the 0.382 Fibonacci resistance at $146 as its first target. However, it remains uncertain whether this rise will continue, as a break of $152 will be considered confirmation of a trend reversal.
Solana Network Development and TVL Increase Attracts Attention
Although price action remains weak, Solana’s in-network data paints a very positive picture. CentimeterAccording to data shared by on the X platform, the Solana network showed a 33% increase in total development activity on a monthly basis.
Additionally, according to data from DeFiLlama, Solana’s total locked value (TVL) has increased by $1 billion in the past month, suggesting that the network remains strong despite the price drops.
Concerns Remain for Long-Term Investors
Although the in-network data is positive, long-term investors are still not convinced. Coinglass The Long/Short ratio remains below 1, data show, suggesting that short-term traders’ influence on Solana has been dominant throughout the week.
While Solana’s failure to hold onto the $138 support level is frightening, whether buyer interest returns will be one of the most important factors that will determine the token’s future price movements.
Disclaimer: The information contained in this article does not contain investment advice. Investors should be aware that cryptocurrencies carry high volatility and therefore risk, and should carry out their transactions in line with their own research.
