Solana Price Prediction: SOL Drops After Pushing To $178 On Wednesday

Daily Solana Technical Analysis

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Last Updated December 16th 2021
4 Min Read
  • The Solana price fell back during the ongoing session, dropping to $174.
  • SOL had pushed up significantly on Wednesday, rising by over 10%. 

The Solana price fell back during the ongoing session as sellers took over the session, dropping the price down to $174. SOL had started the week on an extremely bearish note, dropping by over 10% on Monday and settling at $155.22. However, SOL recovered on Tuesday, rising by over 4% and settling at $161.49. The price pushed further on Wednesday, as it moved to $178 before dropping off during the ongoing session. 

Solana Price Chart Indicates Sellers Looking To Push Price To $170 

The Solana price started the previous week on a bearish note, dropping by 1.27% on Monday and then by 1.84% on Tuesday to settle at $190.43. However, the price recovered on Wednesday, rising by 2.32% and moving up to $194.84. However, the price fell back on Thursday, dropping by almost 7% and settling at $181.56. Friday saw an even bigger drop, as the price fell by 7.58% and settled at $167.80.

Image: SOL/USD daily chart 121621

Image: SOL/USD daily

After dropping to $167.80 on Friday, the Solana price pushed up over the weekend, registering an increase of 2.52% on Saturday, and 0.56% on Sunday to end the weekend at $172.99. SOL dropped on Monday despite the bullish weekend, falling by over 10% and settling at $155.22. On Tuesday, the price recovered, rising by 4.04% and almost 11% on Wednesday to surge past $170 and settle at $178.57. The current session has seen the price drop marginally, with the price down to $175.

We can see that the Parabolic SAR is currently bearish, but if the price recovers, it could flip back to bullish.

Image: SOL/USD 4-hour chart 121621

Image: SOL/USD 4-hour

Looking at the 4-hour Solana price chart, we can see that SOL had dropped to $167.80 on the 11th. The price pushed up significantly from this level, rising to 4174.54 on the 12th. However, it could not move past the 20-bar SMA and dropped to $153.40 on the 13th. SOL recovered from this level, as it pushed above the 20-bar SMA on the 15th before falling to $157.72. However, the price made a strong recovery, moving past the 20 and 50-bar SMAs and moving to its current level of $175.

We can see that the Parabolic SAR and MACD are both bullish, indicating that we could see the price push higher as SOL recovers.

Solana Ventures Cretes New $150 Million Fund For Blockchain Gaming With Forte and Griffin

Solana Ventures, the investment arm of Solana Labs, recently announced a new $150 million fund to back blockchain gaming startups. The fund has been launched in partnership with Forte, a blockchain gaming startup that recently raised $725 million in new funding, and Griffin Gaming Partners.

The fund backed by the trio is reportedly denominated in dollars and not in Solana (SOL) tokens. It plans to invest in gaming startups building on the Solana blockchain. Solana Ventures contends that the network's throughput of 65,000 transactions per second and average per-transaction cost of $0.00025 makes it an ideal blockchain for gaming applications.

The new fund will invest in startups' equity and token rounds and expects to be fully deployed over the next 18 months, said the spokesperson. This is the second blockchain gaming-focused fund Solana Ventures has announced. Last month, the firm launched a $100 million fund by partnering with Lightspeed Venture Partners and FTX.

Earlier, Avocado Guild, a blockchain gaming startup similar to a16z-backed Yield Guild Games, raised $18 million in a Series A funding round.

Animoca Brands and QCP Soteria Node (QSN) co-led the round, with Solana Ventures, Three Arrows Capital, Polygon Studios, and others participating. The round brought just the six-month-old Avocado Guild's valuation to $200 million.

Solana Price Is Expected To Reach These Levels 

Looking at the Solana price chart, we see that SOL has dropped during the ongoing session. If the current sentiment persists and sellers retake the session, we could see SOL drop to $170. However, if the price recovers, we could see it move to $180.