Solana Price Prediction: SOL Could Drop to $80 Before A Recovery

Daily Solana SOL Technical Analysis

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Last Updated January 24th 2022
3 Min Read
  • The Solana price slipped below the $100 level on Saturday, as it dropped to $94.62. 
  • The price registered a recovery on Sunday but could not push above $100 and fell back in the red during the ongoing session. 

The Solana price has started the current week with the bearish sentiment persisting, with SOL down over 9%, with sellers looking to drive the price even lower. SOL had dropped by nearly 6% on Thursday, falling to $127.64, and then registered a drop of nearly 12%, falling to $112.37 on Friday. Saturday saw SOL register an even more significant drop as the price crashed by nearly 16%, slipping below the $100 level and dropping to $94.62, before recovering on Sunday and rising to $99.85. 

Solana Price Chart Indicates SOL Could Drop Below $80

The Solana price started the previous weekend in the red, registering a negligible drop on Friday. The price recovered on Saturday, rising by 1.09% and then registering an increase of 0.25% on Sunday and ending the weekend at $148.08. SOL continued to drop on Monday, falling by 5.51% and settling at $139.92, where the 200-day acted as support. As a result, SOL was able to register a marginal recovery, rising by 0.98% and settling at $141.29, before dropping back on Wednesday, falling below the 200-day SMA and settling at $135.22.

Image: SOL/USD daily

Image: SOL/USD daily chart 012422

The Solana price remained bearish on Thursday, dropping by 5.61% and settling at $127.64. The price continued to drop on Friday, falling by nearly 12% to $112.37. The weekend saw the bearish sentiment continue, as the price crashed by nearly 16% on Saturday, dropping below the $100 level and dropping to $94.62. However, BTC was able to register a recovery on Sunday, rising by nearly 6%, before dropping back in the red during the ongoing session.

We can see that the RSI has slipped below 30, indicating a buy signal. This means that we could see SOL bounce back in the short term with the price set to recover.

Image: SOL/USD 4-hour

Image: SOL/USD 4-hour chart 012422

Looking at the 4-hour Solana price chart, we can see that SOL had slipped below the 50-bar SMA on the 17th when the price dropped to $142.97. The price continued to drop from this level, as it fell to $136.70, before registering a marginal recovery. SOL could not move past the 20-bar SMA and fell back, dropping to $134.36, before recovering and pushing above the 20-bar SMA and moving to $143.28 on the 20th. However, the 50-bar SMA was acting as resistance at this level, and the price fell back drastically, slipping below the 20-bar SMA and settling at $127.59. The price continued to drop from this level and fell below the $100 level, slipping to 90.69 on the 22nd. SOL was able to recover and rise to $101.92 before falling back to its current level of 89.

We can see that the MACD is currently bullish, but if the price continues to drop, we could see it flip to bearish.

Solana Price Is Expected To Reach These Levels 

Looking at the Solana price chart, we can see that SOL has been quite bearish during the ongoing session. While the RSI has slipped below 30, indicating a buy signal, we could see SOL drop to $80-$85 before the price recovers.