The Solana (SOL) price has recently experienced a sharp decline, with the breakdown confirmed by technical patterns observed in recent analyses. Notably, Nebraskangooner, an analyst on X, highlighted a significant breakdown below the lower ascending support line of a symmetrical triangle pattern on Solana’s chart. This breakdown is marked by a large bearish candle, indicating intense selling pressure and suggesting further downside movement.
Symmetrical Triangle Breakdown
The symmetrical triangle pattern observed on the Solana chart is a key technical indicator of potential price direction. This pattern, characterized by converging trendlines—an upper descending resistance line and a lower ascending support line—typically suggests a breakout in either direction.
However, the recent price action within this pattern has shown consolidation, leading to a significant breakdown below the lower support line. This breakdown has driven the price low to around $139.42, indicating increased bearish momentum. The current price structure suggests Solana could continue its downward trajectory toward the next support levels, notably around $132.
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The long-term outlook for Solana remains bearish, mainly as the price has fallen below its 200-day moving average. The 200-day EMA, a critical long-term trend indicator, is under significant pressure.
Altcoin Sherpa, another crypto analyst, noted that the 200 EMA is “getting hammered,” raising concerns that Solana might lose this support level. If this level fails to hold, the price could revisit the $125 support level, which has previously served as a vital area of demand.
Resistance Levels Pose Challenges
As Solana hovers around its current price, it faces significant resistance levels that could hinder any potential recovery. The chart indicates resistance at $163 and $188, which historically posed challenges for upward movement.
If Solana bounces from the 200 EMA, these resistance levels will be critical to watch. However, given the current bearish sentiment and the breakdown below the symmetrical triangle, the probability of a sustained upward move remains uncertain.
At press time, Solana’s price was $137.99, reflecting a -3.90% decline in the last 24 hours. This decline and the technical breakdown suggest that Solana may face further downside pressure in the coming days.
