Solana (SOL) Faces Technical Pressure as Key Support Nears Breaking Point

Solana (SOL) is under close market scrutiny after failing to stay above its 20-day Exponential Moving Average near $133. The level now acts as a major resistance, putting SOL in a vulnerable technical position amid recent price action.

The price chart analysis from crypto analyst Mags shows SOL is approaching a significant point because of its previous highs, which rejected the token price. The present token structure indicates either a potential upward recovery, breakout, or an extended bearish trend in case support levels break down.

Mags from X provided a detailed price chart evaluation showing that SOL reached its latest all-time high at $295 during the current market cycle. The bearish divergence on the weekly Relative Strength Index indicated internal weakness after which the rally began to stall.

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The price has established strong support at the $117 area since a year ago. The price sits at the 1.618 Fibonacci retracement level during this time, strengthening this region’s technical significance.

Previous market cycles observed the daily RSI around 40 to serve as a price reversal point. The RSI number at present could serve as a brief respite, according to Mags although both horizontal support and strength must remain intact for this to happen.

If SOL sustains its footing around $117, a bounce could follow, with room on the RSI to support upside movement. However, a weak rebound or failure to hold this key zone could lead to further selling pressure and potential decline to deeper support levels.

SOL/BTC Pair Mirrors Market Uncertainty with Technical Rejection

The SOL token has experienced inability to hold through a long-standing trendline within the SOL/BTC pair alongside the challenges it faces on the USD trading front. Multiple selling operations against Bitcoin have been found at this trendline, acting as resistance during the past months.

Belief in the SOL/BTC pair rests on its position near the critical 0.618 Fibonacci level, which is vital to SOL token’s comparative value. Mags recognized this price zone as one of the vital decision-making areas that will influence the near-term development of the SOL/BTC pair.

If the level fails to maintain support, it will verify a bearish divergence pattern on USDT, which will lead to additional price drops. Implementing a successful reclaim of the declining trendline in this analysis could create positive changes in the Bitcoin price ratio.

Conclusion

Solana’s price action remains delicately poised at a vital support area following a period of weakness. Both the USD and BTC pairs suggest the next move could define SOL’s trajectory in the coming weeks, with market participants closely watching for a decisive outcome.

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