Solana's all-out effort to defend the $85 Maginot Line... being sucked into a downward channel

▲ Solana (SOL)

As Solana (SOL)'s rebound loses momentum, blocked by a strong resistance wall, a pessimistic outlook is becoming prevalent, suggesting that the price could retreat to the psychological threshold of $85.

According to a report by virtual asset specialized media NewsBTC on April 29 (local time), Solana recently failed to break through the $105 resistance area, undergoing a downward correction and falling below the $100 mark. Solana's price is currently trading below $100 and the 100-hour simple moving average, showing a bearish trend. On the hourly chart, a major bearish trend line has formed around $98, acting as resistance and hindering rebound attempts.

For the price to stop its decline and reverse, it must first reclaim the $98 and $100 resistance levels in succession. The primary major resistance is located around $102, and a decisive breakthrough of this level could generate new upward momentum towards $105 and $110. However, if it repeatedly fails to break through resistance without strong buying support, selling pressure is likely to intensify.

The downside support level is expected to be tested first at the $92 mark, and if this level breaks, the decline could extend to the next major support at $88. If the $88 support level is also surrendered, warnings suggest that the price could plummet vertically to the $85 mark due to a large volume of selling. Currently, sellers hold the upper hand in the market, increasing psychological anxiety among investors looking for dip-buying opportunities.

Technical indicators also support Solana's bearish trend, suggesting further downside potential. The Moving Average Convergence Divergence (MACD) shows acceleration in the bearish zone, and the Relative Strength Index (RSI) remains below 50, indicating that the market is heading towards an oversold condition. The simultaneous weakness of major virtual assets like Bitcoin (BTC) is also acting as a factor hindering Solana's rebound.

Solana currently stands at a critical inflection point, and whether the $92 support level is defended will likely be the decisive factor for future price movements. Market participants are closely watching the capital flows of whales and changes in trading volume, preparing for the risk of further decline to $85. For the time being, high volatility is expected to continue, depending on whether the resistance zone between $98 and $102 is broken.

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