Solana Bleeds Out: Can SOL Price Recover From Its Weekly Nosedive?
Solana's SOL token is taking a beating—down another 12% this week as the crypto carnage continues. The 'Ethereum killer' now looks more like roadkill, with traders scrambling to predict where the bottom might be.
Technical indicators scream oversold, but market sentiment? Colder than a banker's heart. The RSI hasn't seen these levels since the FTX collapse, and open interest in SOL derivatives just hit a 90-day low. Retail investors are jumping ship while hedge funds circle like vultures.
Meanwhile, Bitcoin maximalists are cracking open the champagne—nothing makes them happier than watching altcoins implode. 'This is healthy consolidation,' claim Solana's die-hard fans, their voices trembling slightly. The rest of us remember that in crypto, 'healthy consolidation' usually precedes another leg down.
Will SOL find support at the $120 level, or is this the beginning of a deeper correction? Grab some popcorn—this is either a fire sale or a dumpster fire. Either way, some VC is probably writing a 'Why we're doubling down' blog post as we speak.
Solana RSI Drops Below 45 as Momentum Fades
Solana’s Relative Strength Index (RSI) has dropped to 40.77, a notable decline from 64.25 just two days ago.
This sharp shift reflects weakening bullish momentum and suggests that recent selling pressure has outpaced buying interest.
The MOVE down signals a potential transition from neutral or bullish conditions into a more cautious or bearish sentiment zone, as traders begin reassessing Solana’s short-term outlook.
The RSI is a widely used momentum indicator that measures the speed and magnitude of recent price changes. It ranges from 0 to 100, with readings above 70 typically indicating overbought conditions—often preceding price pullbacks—while values below 30 suggest oversold conditions, potentially signaling price rebounds.
A reading near 40.77 places solana in a neutral-to-weak zone, hinting that the asset is losing upward momentum but hasn’t yet reached oversold territory.
If RSI continues to decline, it could indicate further downside risk, while stabilization above 40 might suggest consolidation before the next move.
Bearish Ichimoku Structure Keeps SOL Under Pressure
Solana’s Ichimoku Cloud chart reveals a bearish setup. Price action is currently trading below the Kumo (cloud), which is shaded red.
This red cloud indicates prevailing downward momentum and acts as dynamic resistance. The Leading Span A (green line forming the upper edge of the cloud) remains below Leading Span B (red line forming the lower edge), reinforcing the bearish structure.
The cloud ahead also stays red and relatively thick, suggesting strong overhead resistance soon and making a bullish reversal more difficult unless significant momentum builds.
The Tenkan-sen (blue line) is currently below the Kijun-sen (red line), another classic bearish signal. These two lines have also flattened out, signaling consolidation rather than any strong directional movement.
With candles struggling to break above the Tenkan-sen, short-term momentum appears weak.
Unless a bullish crossover occurs or price action penetrates the cloud, Solana remains under bearish pressure from an Ichimoku standpoint.
Solana EMA Structure Remains Bearish Despite Recent Rebound Attempt
Solana’s EMA structure remains bearish, with shorter-term moving averages positioned below the longer-term ones—signaling continued downward momentum.
This setup emerged after a failed bullish attempt two days ago, where SOL tried to reverse the trend but faced rejection. If the bearish alignment holds, the asset could test its immediate support level at $141.53.
A breakdown below that could open the door to further downside, potentially pushing SOL below $140 for the first time since April 21.
On the flip side, if the trend reverses and short-term EMAs begin to curve upward, Solana could retest the resistance zone around $150.59.
A clean break above this level WOULD be the first sign of a potential trend shift. If buying momentum strengthens beyond that, higher resistance targets lie at $163.64 and $168.36.
In the case of an extended rally, SOL might even aim for $179.41 as the next major upside level.
